For personal use only - Australian Securities · PDF fileDamien Barrack Renaissance Asset Management ... Woolworths supermarket, increased specialities, a new enclosed mall and extended

Mirvac Real Estate Investment TrustProperty Tour Book July 2007

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3 Rider Boulevard, Rhodes, NSW

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1MIRVAC REAL ESTATE INVESTMENT TRUST PROPERTY TOUR BOOK 2007

Mirvac Real Estate Investment Trust

Contents

Tour information> Tour itinerary> Mirvac attendees> External attendees

Tour route

Tour assets> 10—12 Julius Avenue, North Ryde, NSW> 3 Rider Boulevard, Rhodes, NSW> Cherrybrook Village Shopping Centre, Cherrybrook, NSW> 32 Sargents Road, Minchinbury, NSW> 52 Huntingwood Drive, Huntingwood, NSW> Chester Square Shopping Centre, Chester Hill, NSW> 10–20 Bond Street, Sydney, NSW

Case studies> 3 Rider Boulevard — acquisition> Chester Square Shopping Centre — redevelopment> 32 Sargents Road — development of Stage 2

MREIT portfolio overview

MREIT market outlook

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MIRVAC REAL ESTATE INVESTMENT TRUST PROPERTY TOUR BOOK 20072

Tour itinerary

Time Activity

8.00 am — 8.45 am Breakfast briefi ng

Level 26, 60 Margaret Street

> Nicholas Collishaw — welcome> David Rees — market update> Andrew Butler — tour overview

8.45 am — 9.00 am Proceed to bus

9.00 am — 9.30 am Travel to 10—12 Julius Avenue, North Ryde

> 30 minute site inspection

10.10 am — 10.30 am Travel to 3 Rider Boulevard, Rhodes


11.15 am — 11.40 am Travel to Cherrybrook Village Shopping Centre


12.15 pm — 1.15 pm Lunch

> Verve at Cherrybrook

1.20 pm — 1.45 pm Travel to 32 Sargents Road, Minchinbury


2.10 pm — 2.35 pm Travel to 52 Huntingwood Drive, Huntingwood

> Drive by

2.40 pm — 3.15 pm Travel to Chester Square Shopping Centre


3.45 pm — 4.30 pm Travel to 10–20 Bond Street, Sydney


4.50 pm — 5.00 pm Travel to Circular Quay

> ECQ Bar drinks and nibbles

6.30 pm ConcludeFor

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MIRVAC REAL ESTATE INVESTMENT TRUST PROPERTY TOUR BOOK 2007 3

32 Sargents Road, Minchinbury, NSWFor

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4 MIRVAC REAL ESTATE INVESTMENT TRUST PROPERTY TOUR BOOK 2007

Tour information

Mirvac attendees

Andrew Butler Director, Mirvac Real Estate Investment Trust

Alasdair Reid Senior Asset Manager – Retail

Jane O’Connor Senior Asset Manager – Commercial/Industrial

Norma Tran Trust Analyst

Norelle Ray Manager, Investor Relations

Leon Walker Chief Operating Offi cer

Nicole Fielder Assistant, Investor Relations

Michelle Phillips Assistant, Investor Relations

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External attendees

Laurance Parisi APN Funds Management

Ninus Kanna ING Investment Management

Dean Gomel BBY Limited

Michael Scott JP Morgan Securities Australia

Callum Bramah Macquarie Securities

Paul Checchin Macquarie Securities

Bryan Howitt Merrill Lynch Equities

Adam Dight Orchard Funds Management

David Sullivan Perpetual Investments

Benita Ong Principal Global Investors

Damien Barrack Renaissance Asset Management

Melissa Scott SG Hiscock & Co

David Curtis UBS Global Asset Management

Murray Gordon UBS Global Asset Management

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Tour route

10 and 12 Julius Avenue, North Ryde, NSW

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2

Cherrybrook Village Shopping Centre, Cherrybrook, NSW

3

32 Sargents Road, Minchinbury, NSW

4

52 Huntingwood Drive, Huntingwood, NSW

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Chester Square Shopping Centre, Chester Hill, NSW

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10–20 Bond Street, Sydney, NSW

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M4 MotorwayM4 Motorway

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Hornsby

Parramatta

Blacktown

Windsor

Penrith

Bankstown

Chatswood

Strathfield

Liverpool

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M5 MotorwayM5 Motorway

6. Chester Hill

2. Rhodes

1. North Ryde

7. Sydney

3. Cherrybrook

4. Minchinbury

5. Huntingwood

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10 Julius AvenueNorth Ryde, NSW

10 Julius Avenue comprises three separate buildings located adjacent to our property, 12 Julius Avenue.

The major lessee, BOC Gases, has a lease until November 2015. The property is well located providing convenient access to the M2 Motorway approximately 200 metres to the south west and direct access to the Sydney CBD via Epping Road and the Gore Hill Freeway.

Tour assets

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Property Details

Type Business Park

Site area 15,480 sqm

Lettable area 13,385 sqm

Car spaces 444

Title Freehold

Ownership 100%

Acquisition date December 2005

Valuation $68.5 million

Valuation date 30 June 2007

Occupancy 100%

Major tenants BOC Gases (8,992 sqm)Wella (2,355 sqm)

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12 Julius AvenueNorth Ryde, NSW

12 Julius Avenue, located in the Riverside Corporate Park, North Ryde, is considered the premier high-tech business park location in Sydney.

The property comprises two multi level buildings with Revlon being the major tenant of the property. As with our adjacent property at 10 Julius Avenue, 12 Julius Avenue has benefi ted from the recent completion of the Lane Cove tunnel which links the M2 and Gore Hill Freeway.

The location will be further enhanced by the completion of the Chatswood to Epping rail link anticipated in mid 2008.

Property Details

Type Business Park

Site area 9,000 sqm


Car spaces 200

Title Freehold

Ownership 100%

Acquisition date November 1999



Occupancy 96%

Major tenant Revlon (2,674 sqm)

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Tour assets(continued)


Located in the heart of the commercial area of Rhodes, 3 Rider Boulevard is a modern, seven level offi ce building with three retail shops on the ground fl oor and 326 basement car spaces.

Completed in late 2005, this asset features large and fl exible fl oor plates, a 4.5 star ABGR energy rating and quality fi nishes throughout. The area is well serviced by road, train and ferry.

Property Details

Type Commercial

Site area 3,678 sqm


Car spaces 326

Title Freehold

Ownership 100%

Acquisition date January 2007



Occupancy 100%

Major tenants AAP (3,642 sqm)Cardlink Services (2,216 sqm)

Coffey Corp (1,265 sqm)

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Cherrybrook Village Shopping Centre Cherrybrook, NSW

Cherrybrook Village Shopping Centre is a fully enclosed, single level neighbourhood shopping centre with on site parking for approximately 474 vehicles, including 191 covered bays.

The Centre comprises a strongly performing Woolworths supermarket and 54 speciality tenancies with an excellent fresh food component.

Due to the redevelopment of the Centre sales performance has improved signifi cantly with all retail categories trading above comparable benchmark levels.

Property Details



Car spaces 474

Title Freehold

Ownership 100%

Acquisition date June 2005



Occupancy 100%

Major tenant Woolworths (3,832 sqm)

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32 Sargents RoadMinchinbury, NSW

The property comprises two free standing distribution warehouses together with associated ground fl oor offi ces and an awning that allows under cover access between the two warehouses.

The property was built in two stages with the fi rst warehouse completed in September 2004 and the second in December 2006. The property is conveniently located at the junction of the M4 and M7 Motorways.

Property Details

Type Industrial



Car spaces 202

Title Freehold

Ownership 100%

Acquisition date February 2004



Occupancy 100%

Major tenant Star Track Express (22,378 sqm)

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52 Huntingwood DriveHuntingwood, NSW

The property comprises a high quality, modern, fl exible distribution warehouse which was specifi cally designed for Exel Logistics (trading as DHL) in 2000 which has leased the property until October 2012.

The property is located in the prime Western industrial suburb of Huntingwood just off the M4 Motorway, very near the intersection of the M7 Westlink.

Property Details

Type Industrial



Car spaces 106

Title Freehold

Ownership 100%

Acquisition date November 2004



Occupancy 100%

Major tenant Exel Logistics (trading as DHL) (19,286 sqm)

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Chester Square Shopping Centre, Chester Hill, NSW

Chester Square Shopping Centre is approximately 20 kilometres west of the Sydney CBD, and is a single level neighbourhood facility.

Development works for a $20 million redevelopment commenced in September 2006 and will include a new Woolworths supermarket, increased specialities, a new enclosed mall and extended under cover car parking. The works are expected to be completed by June 2008.

Property Details

Type Retail


Lettable area 8,175 sqm1

Car spaces 3501

Ownership 100%

Acquisition October 19902


Valuation date 31 December 2005

Occupancy Under development

Major tenants Woolworths (3,200 sqm)3

Go–Lo (1,280 sqm)

1 On completion of the redevelopment.

2 Transferred from Mortgegee-in-possesion to Freehold in early 2007.

3 Currently under construction.

Artist’s impression

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10–20 Bond StreetSydney, NSW

Located in the heart of the Sydney CBD, opposite Australia Square, 10–20 Bond Street is a landmark offi ce complex.

The property comprising a seven level building known as 10 Bond Street and 30 level ’A Grade’ offi ce tower known as 20 Bond Street, together with a retail plaza at ground level, which provides a link between the two towers.

Macquarie Bank is the major tenant occupying 70 per cent of the building until 31 December 2009.

Property Details

Type Commercial

Site area 3,250 sqm


Car spaces 169

Title Freehold

Ownership 50%

Acquisition date July 2004

Valuation (50% interest)

$147.5 million


Occupancy 100%

Major tenants Macquarie Bank (26,562 sqm)GHD (3,667 sqm)

Fitness First Australia (3,203 sqm)

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Case study 3 Rider Boulevard – acquisition

Mirvac Real Estate Investment Trust acquired Rider Boulevard in January 2007 for $70.7 million at an initial yield of 7.25 per cent.

Completed in late 2005, 3 Rider Boulevard is a modern seven level commercial building providing a total net lettable area of 16,804 square metres. It has three retail tenancies on the ground fl oor, a large entrance lobby and secure basement parking over four levels for 326 cars.

The property is well located in the heart of the commercial precinct of the Rhodes Waterside Development in West Sydney.

The valuation for the property at 30 June 2007 increased to $77.0 million, an uplift of $6.3 million (or 8.9 per cent) on the original purchase price of $70.7 million. This was due to yield compression of 0.5 per cent with 6.75 per cent being adopted on the new valuation.

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The building is fully leased with a weighted average lease expiry of 7.3 years (by income). Major tenants include Australian Associated Press (AAP) (3,642 square metres who have a 15 year lease); Cardlink Services (2,215 square metres) and Coffey International (1,265 square metres).

The building has high quality fi nishes throughout, offers effi cient and fl exible fl oor plates of over 2,000 square metres and has attained a 4.5 star ABGR energy rating.

The acquisition of this asset reinforces the Trust’s strategy of acquiring high quality assets with secure cash fl ows in locations which are forecast to continue to experience good rental growth.

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Case study Chester Square Shopping Centre — redevelopment

Chester Square is a neighbourhood shopping centre located in the western suburbs of Sydney, approximately 20 kilometres from the Sydney CBD.

Prior to the commencement of the redevelopment, the Centre provided 6,530 square metres of net lettable area and was anchored by a Food for Less supermarket (1,924 square metres), Go-Lo discount store (1,280 square metres) and 28 specialty stores. Surplus land was situated at the rear of the supermarket.

The centre is approximately 27 years old and has been an asset of the Trust since 1990. Recently the asset was transferred to freehold from mortgagee-in-possession after a foreclosure process was undertaken.

The previous Food for Less traded strongly at 20 per cent above benchmarks levels but was too small to service its catchment which limited its market share. In January 2005 commercial terms were agreed with Woolworths for a full line supermarket of 3,200 square metres, for a 20 year term.

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Opportunities to improve the specialty tenancy mix of the existing centre have been identifi ed and will be used to further capitalise on the existing convenience of the Centre. In addition a full refurbishment of the Centre will refl ect modern standards of fi nishes and services throughout.

A Development Application was approved by Bankstown Council in November 2006 to redevelop the Centre incorporating the full line Woolworths, an increase in specialty shops, a new enclosed mall, an increase in parking from 231 spaces to 350 spaces and a major refurbishment and upgrade of the existing centre.

Construction commenced in September 2006 with the redevelopment occurring over a number of stages with the fi nal stage expected to open in June 2008. Stage 1 handover to Woolworths was in April 2007 and they commenced trading in June 2007.

It is expected the project cost will be circa $20 million (excluding existing Centre value of $12 million). Initial yield on cost is estimated to be 7.1 per cent with an end value of approximately $36.5 million, based on a 6.75 per cent capitalisation rate.F

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Case study 32 Sargents Road — development of Stage 2

32 Sargents Road comprises two large distribution warehouses purpose built for Star Track Express who has a lease over the facilities until 2014.

Well positioned in the developing western Sydney industrial area, some 40 kilometres by road from the Sydney CBD, the property enjoys close proximity to major arterial roads, in particular the new M7 Westlink and the M4 motorways.

Stage 1, 10,515 square metres, was developed by Mirvac Projects and acquired by Mirvac Real Estate Investment Trust in late 2004 for $16.474 million. The sale price included 1.6724 hectares of surplus land for future development over which Star Track Express held a fi ve year option.F

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In 2005 Star Track Express exercised its option over the adjoining land to Stage 1 constructing a new facility which provided a further 9,500 square metres of warehouse accommodation. Practical completion of Stage 2 was achieved in December 2006.

The overall net rental across the whole facility equates to $90 per square metre with annual escalators to the greater of CPI or 3 per cent.

The warehouses provide for functional high clearance distribution accommodation which is adaptable for many uses.

The purchase of the two facilities at Sargents Road refl ects the Trust’s strategy of replacing older, smaller industrial properties with modern industrial facilities with good lease tenure in locations that are in close proximity to major transport infrastructure.F

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MREIT portfolio overview


10—20 Bond Street, Sydney, NSW

Chester Square Shopping Centre, NSW

Cherrybrook Village Shopping Centre, NSW

Moonee Beach Shopping Centre, Coffs Harbour, NSW

Cooleman Court, Weston, ACT

City Centre Plaza, Rockhampton, QLD

48—52 Furzer Street, Woden, ACT

423 Pennant Hills Road, Pennant Hills, NSW

52 Huntingwood Drive, Huntingwood, NSW

Travelodge, Garden City, QLD

Travelodge, Rockhampton, QLD

Travelodge, Perth, WA

108—120 Silverwater Road, Silverwater, NSW

191–197 Salmon Street, Port Melbourne, VIC

591—609 Doncaster Road, Doncaster, VIC

Travelodge Southbank, VIC

Alexandra Hills Shopping Centre, Brisbane, QLD

Orion Springfield Town Centre, Greater Springfield, QLD340 Adelaide Street, Brisbane, QLD

12 Cribb Street, Milton, QLDTaree City Centre, Taree, NSW

Travelodge, Newcastle City, NSW

Travelodge, Manly–Warringah, NSW

Network, Eastern Creek, NSW

10—12 Julius Avenue, North Ryde, NSW32 Sargents Road, Minchinbury, NSW

Travelodge, Sydney/Wynyard/Phillip Street, NSW

Travelodge, Bankstown, NSW

Travelodge, Blacktown, NSW

Travelodge, Macquarie, North Ryde, NSW

Key

Mirvac Real Estate Investment Trust is the largest externally managed, diversifi ed, ASX-listed property trust in Australia with $1.2 billion of assets predominantly located on the eastern seaboard.

Commercial

Retail

Industrial

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Commercial 37.3%

Retail 34.5%

Industrial/Business Park 16.1%

Hotels 12.1%

New South Wales 63.0%

Queensland 23.5%

Victoria 7.5%

Australian Capital Territory 6.0%

Asset diversifi cation (by value) Geographic diversifi cation (by value)1

12 Julius Avenue, North Ryde, NSW

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Property Location Ownership

(%)

Acquisition date

Independent valuation as at30 June 2007

($m)

Capitalisation rate

(%)

Lettable area

(sqm)

Commercial

10—20 Bond Street, Sydney NSW 50 Jul 04 147.5 5.75 37,860

3 Rider Boulevard, Rhodes NSW 100 Nov 06 77.0 6.75 16,804

340 Adelaide Street, Brisbane QLD 100 Sep 98 70.0 6.75 13,214

191—197 Salmon Street, Port Melbourne VIC 50 Jul 03 56.8 6.50 21,762

423 Pennant Hills Road, Pennant Hills NSW 100 Oct 90 31.5 8.00 8,589

591—609 Doncaster Road, Doncaster VIC 100 Jun 02 22.0 7.25 6,868

12 Cribb Street, Milton QLD 100 Apr 99 17.0 7.00 3,311

48—52 Furzer Street, Woden ACT 100 Feb 00 24.0 10.50 19,931

Total Commercial 445.8 6.71 128,339

Retail

Cherrybrook Village Shopping Centre, Cherrybrook NSW 100 Mar 06 78.0 6.25 9,497

Taree City Centre, Taree NSW 100 Jul 01 (50%)Nov 04 (50%)

65.0 6.25 15,524

Orion Springfi eld Town Centre, Greater Springfi eld QLD 33 Jun 03 51.7 6.25 33,366

City Centre Plaza, Rockhampton QLD 100 Dec 06 50.0 6.50 14,109

Alexandra Hills Shopping Centre, Brisbane QLD 100 Aug 00 46.0 6.75 12,335

Cooleman Court, Weston ACT 100 Jul 01 (50%)Nov 04 (50%)

39.21 7.75 9,919

Moonee Beach Shopping Centre, Coffs Harbour NSW 100 Mar 07 31.01 7.25 10,979

Kogarah Town Centre, Kogarah NSW 100 Oct 03 22.93 7.75 5,153

Chester Square Shopping Centre, Chester Hill NSW 100 Oct 90 16.51 9.00 6,461

Orion Land QLD 33 Jun 03 12.01 N/A —

Total Retail 412.3 6.76 117,343

Industrial/Business Park

10 Julius Avenue, North Ryde NSW 100 Dec 05 68.5 6.50 13,386

32 Sargents Road, Minchinbury NSW 100 Feb 04 30.3 7.00 22,378

12 Julius Avenue, North Ryde NSW 100 Nov 99 30.0 7.00 7,308

108—120 Silverwater Road, Silverwater NSW 100 Mar 00 30.0 7.50 17,830

52 Huntingwood Drive, Huntingwood NSW 100 Nov 04 28.0 7.00 19,286

Network, Old Wallgrove Road, Eastern Creek NSW 50 — 6.01 N/A —

Total Industrial/Business Park 192.8 6.19 80,188

Hotel (Travelodge Hotel Group)

Travelodge (12) NSW/QLD VIC/WA

49 Mar 05 —Feb 06

145.02 7.75—10.00

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Total Hotel (12) 145.0

TOTAL PROPERTY 1,195.8 325,870

1 Book values as at 31 December 2006.

2 Includes seven properties revalued 30 June 2007, remainder 31 December 2006 book values.

3 Contracts exchanged December 2006 and settlement expected August 2007.

MREIT portfolio overview(continued)

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Lease expiry profi le (by income) Lease expiry profi le (by area)

Top 10 Tenants

Tenant % of direct portfolio

gross income

Macquarie Bank 9.8%

Government 8.7%

Travelodge 8.0%

Woolworths 7.7%

GM Holden 3.8%

BOC Gases 3.4%

Coles Supermarket 3.1%

Exel Logistics (trading as DHL) 2.5%

Star Track Express 2.4%

Australian Associated Press 1.3%

Total percentage of portfolio income 50.7%

Cherrybrook Village Shopping Centre, Cherrybrook, NSW

Excludes Kogarah Town Centre, Chester Square and Cooleman Court.

Excludes Kogarah Town Centre, Chester Square and Cooleman Court.

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MREIT market outlook

MRZ Property Tour July 2007 1Page

NSW – Real Estate Trends and Drivers

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Growth – How does NSW stack up?

> NSW matched nationalgrowth 1990 to 2000

> NSW growth acceleratedafter 2000 – but not as muchas the rest of Australia

> NSW relative under-performance easilyexplained by the miningboom

> But why has growth been soslow recently?

Economic Growth

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Source: ABSPercent pa - current prices

Growth Rates Percent pa - Current $sNSW Australia

1990 to 2000 5.1% 5.0%

2000 to 2006 5.6% 7.0%

1990 to 2006 5.3% 5.7%


Outline of presentation

> Economic trends

> Real estate trends

> Sub-market overview – KPIs and trends

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MREIT market outlook(continued)


Why has NSW housing been so weak?

> Dwelling construction theoutstanding weak sector

> Historically dwellingconstruction trackspopulation and jobsgrowth closely in NSW

> Big divergence from Dec2002 was migrationrelated: NSW producedexcess dwellings despitethe fall in construction

> Now the pendulum isswinging the other way

NSW SHARE OF NATIONAL HOUSING AND POPULATION GROWTH

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Dec-90 Dec-92 Dec-94 Dec-96 Dec-98 Dec-00 Dec-02 Dec-04 Dec-06

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NSW contributions to growth 2003 - 6

> Chart shows contributions togrowth 2003 to 2006

> “Other construction” lowdue to surge in 2002

> Dwelling construction clearlythe prime suspect for poorgrowth performance

> Housing slump knocked100bp off NSW growth in2005 and in 2006

Selected Sectors 2003 To 2006

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- 20%

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Government spending

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Dwelling construction

Other construction

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Government investment

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NSW turnaround factors:Capital investment

Big rise in public sector capital expenditure – capital spend 2007 to 2010+45% higher than 2003 to 6 – adds around 100bp to NSW growth in 2007/8


Narrowing wage and house pricedifferential

> Wage differential betweenNSW and Queensland closeto peak in 2002

> Has narrowed sharply from2003: 6% real decline inrelative NSW earnings onaverage

> All cities now equally“unaffordable

> Incentive to migrate falling

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NSW turnaround factors

“The key preconditions for NSW’s recovery are increasingly being met”Access Economics June 2007


NSW turnaround factors:Residential construction recovery

Residential construction turnaround after flat 2006 - 7

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> Economic trends




Economic forecastsAccess Economics

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> Non-CBD office marketslong-term out-performersnationally due to higheryield: +85bp pa. 1984 to2007

> Increase in part-time, casualworkers, urban congestion,infrastructure supportsoffice, office parks andmixed-use developmentslong-term

Real estate drivers:Non-CBD office markets


> White collar jobs highlycorrelated with office spaceabsorption

> NSW white collar jobsgrowing rapidly since mid-2005

> Sydney CBD primeeffective rents to rise 8.5%to 11.5% next 3 years(CBRE)

NEW SOUTH WALESWhite and Blue Collar Employment Growth

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Blue collar

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Real estate drivers:Office

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Real estate drivers:Industrial

> Logistics the big growth driver

> Inventory management: Stockto sales ratio has been fallingfor 30 years – no sign of aplateau

> Imports to sales ratio risingsharply

> Inbound air freight growthforecast 4.9% pa, portcontainer traffic 7.7% pa –above systemic growth rate

SYDNEY CONTAINER TRAFFIC

0200400600800

1,0001,2001,4001,600

1994 1996 1998 2000 2002 2004

TEUs ('000)

MRZ Property Tour July 2007

14Page

Real estate drivers: Retail

> Retail sales bouncing back

nationally and in NSW

> Tax cuts – bigger impact in

NSW

> Year-on-year NSW retail

T/O growth to April 06 =

4.8% = ten-year average

> Household goods (a

discretionary category,

housing-related) +6.0% in

year to April 07 – support

for bulky goods retailers

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Market overview:Rhodes commercial, North Ryde warehouse

Source: CBRE March 2007,PCA Office Market Report January 2007

Key Performance Indicators 2007 - Quarter 1Sub-market

North Ryde Rhodes/Homebush Bay

A Grade B Grade

Gross face rents ($/sqm) $355 $327 $356

Net effective rents ($/sqm) $219 $195 $242

Incentives (%) 20.55% 21.72% 14.69%

Market yields (%) 7.25% 7.92% 7.81%

Market vacancy (%) 4.5% 13.4% 0.89%

Net absorption (%) 24,553 (6,451) 41,894 (12 months to January 2007)

Key performance indicators and trends:



> Economic trends



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Market overview:Cherrybrook & Chester Square retail centres

Source: CBRE March 2007


Key Performance Indicators Sub-regionalcentre

Neighbourhoodcentre

Gross face rents - Total specialties ($/sqm) $876 $1,041

MAT - Total centre ($/sqm) $5,945 $8,008

GOC - Total specialties (%) 12.10% 11.30%


Market overview:Rhodes commercial, North Ryde warehouse

Future supply data

Source: CBRE, February 2007

> New infrastructureprovides access to non-CBD office markets

> Epping to Chatswoodrail link due to completein mid 2008

> Limited availability ofcontiguous space over1,000 sqm

> Macquarie Park has atleast 20 developmentsin the pipeline

Future Supply Development Stage North Ryde Rhodes/ Homebush Bay

Total Office NLA (sqm)DA Applied 46,769 * data will be

DA Approved 160,798 available postEarly Feasibility - 14/08/2007

Site Works 25,931Under construction 94,000

Total Office NLA (sqm) 327,498Total Precommitted space (sqm)

DA Applied 18,880 * data will be DA Approved 86,693 available post

Early Feasibility - 14/08/2007Site Works 15,385

Under construction 90,100Total Precommitted space (sqm) 211,058

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Market overview:Minchinbury and Huntingwood industrial


Source: CBRE, March 2007

Key Performance Indicators 2007 - Quarter 1

Outer Central West Outer South WestGrade A Grade B Grade A Grade B

Warehouse

Gross face rents ($/sqm) 120.00 $103.00 $102.67 $88.33

Net effective rents ($/sqm) 92.97 $77.31 $103.00 $79.69

Incentives (%) 11.46% 9.04% 11.46% 11.46%

Market yields (%) 7.25% 7.75% 7.70% 8.00%

Distribution

Gross face rents ($/sqm) $120.00 $110.00 $120.00 $80.00

Net effective rents ($/sqm) $95.51 $86.41 $93.97 $60.64

Incentives (%) 9.04% 9.04% 10.50% 13.37%

Market yields (%) 7.25% 7.75% 7.00% 8.00%


Market overview:Cherrybrook & Chester Square retail centres

Future supply > Amount under constructionrepresents approximately a1.6 percent increase in totalstock

> Adding DA approved spaceimplies a 15 percentincrease

> Access Economicsforecasts retail turnover togrow by 4.7 percent in NSWin 2007/08. On this basis,downward pressure onrents are not expected

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Key Points

> NSW economy to accelerate through 2008

> Drivers:Housing constructionInfrastructure spendingPopulation growthTax cuts

> Real estate drivers positiveWhite collar employmentRetail spendingTransport, logistics

> Specific factors driving suburbs and locations


Market overview:Minchinbury and Huntingwood industrial

Future supply data

Source: CBRE May 2007

> West and South-westmarkets benefit from landavailability andaffordability

> Premium for locationemerging in industrialsector for first time

> Infrastructure investmentprovides additionalaccess to the Westernand South-west markets

> New constructiontechnology meets userrequirements andincreases buildingefficiency

Future Supply Development

Stage

Outer South West Region

Outer Central West Region

Total Sydney

Total Industrial NLA (sqm)

DA Applied 23,012 14,350 354,270

DA Approved 85,777 31,200 480,545

Early Feasibility 33,500 0 214,683

Mooted Total - 0 101,500

Site Works 7,500 0 86,681

Under construction 114,116 33,120 600,707

Total Industrial NLA (sqm) 263,905 78,670 1,838,386

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Documents

For personal use only - Australian Securities · PDF fileDamien Barrack Renaissance Asset Management ... Woolworths supermarket, increased specialities, a new enclosed mall and extended