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Agenda

Results overview

Investment Property

Commercial & IndustrialCommercial & Industrial

Residential

Capital management

Strategy and outlookStrategy and outlook

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Market conditions

Trading conditions remain positive with business and consumer confidence cautiously 

optimistic

Credit conditions have improved but the cost of debt remains elevatedCredit conditions have improved but the cost of debt remains elevated

Investment grade asset values have stabilised supported by positive supply and demand 

fundamentals

Residential house prices have recovered strongly but expected to stabilise with rising p g y p g

interest rates

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1H10 highlights

Group On track to deliver FY10 earnings and distribution guidance

Established unsecured $1.3bn syndicated bank debt facility and      

extended debt maturity profile

Investment Property Strong portfolio metrics maintained ‐ occupancy 99.4%, WALE 5.4 years

Property values have stabilised

Commercial & Industrial Recovery emerging with 227 000 sqm of forward workload includingCommercial & Industrial Recovery emerging with 227,000 sqm of forward workload including       

pre‐leases and turnkey projects

Strengthened pipeline with acquisition of 357 Collins St and Altona 

Gardens Industrial Estate (32 ha), Victoria

Residential Solid sales performance with strong levels of contracts on hand

Successful launch of 4 new projects with ~65% pre‐sold

Secured Northshore development in Brisbane

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Group financial results

HY10 HY09

Investment Property $83m $78m

Commercial & Industrial $11m $23m

Residential $24m $14mResidential $24m $14m

Corporate $(12)m $(12)m

Eliminations $0m $8mEliminations $0m $8m

Operating EBIT $105m $112m

Operating profit1 $60m $60m

Investment property revaluation gain / (loss) $12m $(235)m

Impairment of development assets2 $0m $(93)m

Statutory profit / (loss) $72m $(269)m

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1. Operating profit after tax and non‐controlling interest2. Post tax

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Key operating metrics

Operating EPS & DPS affected by 2009 entitlement offer

Recurrent earnings above target range while development returns recover

Revaluation gains have led to a modest uplift in NTA

HY10 HY09

Gearing well within target range

Operating EPS1 10.5c 16.2c

DPS2 10.0c 15.0c

% recurrent earnings (EBIT) 79% 70%% recurrent earnings (EBIT) 79% 70%

JUN 10 DEC 09

NTA per security2 $3.44 $3.42

Gearing3 27.1% 25.4%

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1. HY09 restated for the effect of the 2009 entitlement offer and May 2010 security consolidation (5 into 1) in accordance with AASB133 Earnings per share2. HY09 restated for May 2010 security consolidation (5 into 1)3. Interest bearing debt / total tangible assets (cash adjusted)

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Financial performanceInvestment Property

EBIT growth of 6% on 1H09 RESULTS HY10 HY09

Comparable rental growth of 3.4%

One‐off contribution from Crest 

H t l l

EBIT $83m $78m

Revaluation gain / (loss) $12m $(235)m

METRICS JUN 10 DEC 09Hotel sale process

Key portfolio metrics remain strong

METRICS JUN 10 DEC 09

Portfolio value $2.0bn $2.0bn

External AUM $0.2bn $0.2bn

99.4% occupancy

5.4 years WALE

Occupancy (by income) 99.4% 99.4%

Comparable rental growth 3.4% 3.3%

N b f ti 69 70Active portfolio management in 1H10

$65 million of acquisitions

Number of properties 69 70

WALE (by income) 5.4 yrs 5.8 yrs

Average portfolio age 6.6 yrs 6.2 yrs$84 million of divestments

Lettable area (sqm) 1.1m 1.1m

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ValuationsInvestment Property

Approximately 50% of Investment Property assets (by value) were independently valued in 1H10

Modest revaluation gain of $12 million, representing 0.6% increase on $2 billion portfolio 

Valuations for quality assets have stabilised

CAP RATES JUN 10 DEC 09 JUN 09

Industrial 8.75% 8.79% 8.81%

Office 8.02% 8.12% 7.91%

Portfolio 8.41% 8.48% 8.34%

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Electrolux, Perth, WANestle, Rhodes, NSW

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Security of incomeInvestment Property

Approximately 84% of income expiring beyond 2012

3.4% average fixed rent reviews over 91% of portfolio income

88% of income derived from government, ASX listed and multinational companies

Internal pipeline provides access to new, high quality product with attractive return metrics

~84% EXPIRING POST FY12

LEASE EXPIRY PROFILE1 RENT REVIEW STRUCTURE1

20%16%

48% FIXED91%

7%> of FIXED OR CPI

1%6% 9%

16%

FY10 FY11 FY12 FY13 FY14 FY15+

OTHER2%

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1. By income, excludes vacancy of 0.6%

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Financial performanceCommercial & Industrial

RESULTS HY10 HY09Result reflects standing start in 1H10

Revenue2 $71m $108m

EBIT $11m $23m

Projects delivered (sqm) 59,000 51,000

Key projects contributing in 1H101

Best & Less, NSW ($44m)

Queensland Cotton VIC ($19m) Projects delivered (sqm) 59,000 51,000

Land sales (sqm) 129,000 264,000

Internal development2 $18m $46m

Queensland Cotton, VIC ($19m)

Kimberly Clark, QLD ($19m)

Target, QLD ($14m)

Sales to third parties2 $53m $62m

METRICS JUN 10 DEC 09

C it l l d3 $391 $323

Land sales at more normalised levels as 

focus shifts to converting built form

Capital employed3 $391m $323m

Land bank (ha)4 416 426Strategic restocking

357 Collins St, VIC ($45m)

Altona Gardens VIC ($30m)

1. Figures shown are end values

Altona Gardens, VIC ($30m)

Activity expected to improve in 2H10

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g2. Includes ALZ share of joint ventures and PDAs3. Total assets less non interest bearing liabilities 4. Includes 100% of joint ventures and PDAs

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Forward workloadCommercial & Industrial

Forward workload of 227,000 sqm  INTERNAL  Estimated GLA/NLADEVELOPMENT end value ($m) (sqm) 1H10 2H10 1H11

across 14 projects, end value ~$460m

6 developments to be held internally, 

NSW Kmart, Eastern Creek 72 51,600

Kimberly Clark, Parkinson 19 13,693

Salmat, Parkinson 16 9,223QLD

with an estimated end value of $311m

5 industrial assets ‐ expected

Boundary Rd, Westpark 21 26,096

Greens Rd, Keysborough 25 27,195

357 Collins Street, Melbourne 158 31,300

VIC

5 industrial assets  expected 

average yield on cost of ~9.75%

THIRD PARTY  Estimated GLA/NLADEVELOPMENT end value ($m) (sqm) 1H10 2H10 1H11

Best & Less, Eastern Creek 44 36,000

Cassons, Eastern Creek 23 17,400NSW

1 office asset ‐ expected yield on 

cost ~9.50%

Target, Parkinson 14 10,200

Earnshaw Rd, Northgate 18 6,898

Extrusions, Westpark 7 6,829

W t l (R t il) 23 6 415VIC

QLD

8 projects to be sold to third parties 

with an estimated end value of $147m

Watervale (Retail) 23 6,415

P&O, Gilman 10 7,690

Boart Longyear, Adelaide Airport 8 6,880SA

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Strengthening market conditionsCommercial & Industrial

Industrial NATIONAL INDUSTRIAL SUPPLY3.0 

Transactional activity supporting stabilisation 

of capital values

L d hi t i ll l l l f1.0 

1.5 

2.0 

2.5 

sqm (m

)

10 year average

Low vacancy and historically low levels of 

supply (prime vacancy ~5%)

Broader based enquiry including retail

0.0 

0.5 

'02 '03 '04 '05 '06 '07 '08 '09 '10 '11

Completed Under ConstructionBroader based enquiry, including retail, 

logistics and manufacturing sectors

Supply chain efficiencies driving consolidation

Source: Jones Lang LaSalle Research, Q2 2010

CONTAINER MOVEMENTS

1 000

1,500

2,000

2,500

3,000

No. 000

'sLeading indicators of demand positive

GDP growth forecast ~3% p.a.

forecast

0

500

1,000

'95 '97 '99 '01 '03 '05 '07 '09 '11 '13 '15 '17Adelaide   Brisbane   Fremantle  

Long term forecast growth rate for container movement ~5% p.a.

Inventory stock levels up 7%

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Melbourne   Sydney

Source:  Bureau of Infrastructure, Transport and Regional Economics

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357 Collins Street, MelbourneCommercial & Industrial

Repositioning opportunity acquired at low point of the cycle

Forecast low vacancy rates to underpin favourable leasing 

conditions

Plan to create an A grade office building in a primePlan to create an A‐grade office building in a prime 

Melbourne CBD location 

Net effective rents expected to grow as incentives reduceNet effective rents expected to grow as incentives reduce 

driven by improved tenant demand

Demonstrates integrated develop and own model

FORECAST OFFICE RENTAL GROWTH (Jan 10 – Dec 12)

MELBOURNE SYDNEY

Face rental growth 5.0% p.a. 1.4% p.a.

Incentive reduction 22.2% 18.8%

Effective rental growth 10.4% p.a. 7.1% p.a. Refurbishment concept

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Source:  Jones Lang LaSalle Research, Q2 2010 

g p p Refurbishment concept

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Strategic positioningCommercial & Industrial

ACQUISITION PROJECT CREATION

DESIGN & CONSTRUCT

PROJECT MANAGEMENT

DEVELOPMENT MANAGEMENT

ASSET OWNERSHIP

INDUSTRIAL LANDBANKPOSITIONING2

C&I pipeline with an estimated end value of $3 billion

416 ha industrial, two thirds fully serviced

NSW13%

SA 6%

QLD20%

200,000 sqm of office pipeline

100% zoned

Market leading position in industrial sector1

VIC61%

Market leading position in industrial sector1

Fully integrated platform enables strengthened customer relationships, 50% repeat business

EAST/NORTH13%

National presence with pipeline in close          proximity to key infrastructure links

Melbourne is the largest industrial market with d f d k k EAST/             

SOUTH EAST29%

WEST19%

13%diversified representation in key markets

Strong forward workload and improving market conditions to underpin growth

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1. Source:  Jones Lang LaSalle Research, 16% national market share Q2 2009 to Q1 20102. Includes 100% of joint ventures & PDAs by land size

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Financial performanceResidential

Revenue and lot sales lower than     

1H09 h h d

RESULTS HY10 HY09

1H09 however contracts on hand up 

significantly

Melbourne & Sydney contributed

Revenue1 $184m $243m

EBIT $24m $14m

Lots sold1 517 578Melbourne & Sydney contributed   

~70% of lots sold

FY10 forecast lot sales >70% secured

o s so d 5 5 8

Contracts on hand (lots)1 829 275

Contracts on hand (value)1 $361m $160m

On track to deliver FY10 EBIT 

contribution in line with FY09

ACTIVITY HY10 HY09

Gross lots sold2 801 924

Gross contracts on hand (lots)2 1,243 419

METRICS JUN 10 DEC 09

Capital employed3 $812m $772map a e p oyed $8 $

Lots under management2 22,000 23,200

Pipeline end value2 $8.1bn $8.7bn

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1. Includes ALZ share of joint ventures and PDAs2. Includes 100% of joint ventures and PDAs 3. Total assets less non interest bearing liabilities

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1H10 operational highlightsResidential

Northshore, Brisbane acquisition with an estimated end value of $450 million$

New project starts

333, BurwoodStage 1 88% pre‐soldStage 1, 88% pre‐sold

Casiana Grove, Cranbourne West                 Stages 1 & 2, 74% pre‐sold

Yungabah Kangaroo Point333, Burwood, VIC

Yungabah, Kangaroo Point                                Stage 1, 49% pre‐sold

Aspect, East Perth                                            Stage 1, 65% pre‐sold

INSERT PIC ‐ PONDS

New stages launched

Vine ‐ Discovery Point, Wolli Creek            100% pre‐sold

Pavilions, St LeonardsStage 2, 98% pre‐sold

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Pavilions on the Park, St Leonards, NSW

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Market outlookResidential

Housing remains in chronic undersupply driven by strong population growth

Employment continues to strengthen with Melbourne generating more than 25% of all new jobs

Rising interest rates impacting affordability

Underlying demand supported by low rental vacancy rates, particularly in Melbourne & Sydney

POPULATION GROWTH & HOUSING SUPPLY & DEMAND

200500400

POPULATION GROWTH & DWELLING COMPLETIONS

HOUSING SUPPLY & DEMAND

Annual l ti i

150

175

300

400

etions No. (00

0's)

tion gain (00

0's)

100

200

300

No. 000

's

Underlying demand

Completions

population gain

Shortage

100

125

100

200

Comple

Popu

la

‐100

0

100

'90 '92 '94 '96 '98 '00 '02 '04 '06 '08 '10 '12 '14

Surplus

Annual dwelling completions

forecast

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'90 '92 '94 '96 '98 '00 '02 '04 '06 '08 '10 '90 '92 '94 '96 '98 '00 '02 '04 '06 '08 '10 '12 '14

Source: ANZ Economics, April 2010Source: ANZ Economics, April 2010

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Geographic positioningResidential

VICTORIA NEW SOUTH WALES

Continues to perform well with strong sales momentum Pent up demand driving sales momentum

Diverse range of projects: land, medium density,greenfield and infill

Multiple market catchments and price points

Supply constrained due to high development costs and approval timeframes

Continue to trade through low margin and impaired projects

WESTERN AUSTRALIA QUEENSLANDWESTERN AUSTRALIA QUEENSLAND

Sentiment weakened with uncertainty in resources sector

Weighted to Port Coogee

Opportunities emerging to reposition portfolio

Recovery lagging but fundamentals remain sound

Unique projects positioned to drive earnings from 2011: 

Yungabah, Kangaroo Point & Northshore, Hamilton

PIPELINE BY GEOGRAPHY (BY LOTS)1SALES ACTIVITY (BY LOTS)11,000

VIC54%

NSW19%

QLD11%Contracts on hand

1H10 lots sold

400

600

800

WA16%

19%

0

200

400

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1. Includes 100% of joint ventures and PDAs

VIC NSW WA QLD

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Addressing affordabilityResidential

Products positioned to be competitive with the median price point in each market segment

End to end residential development capability ensures differentiated products can be delivered at 

varying densities and entry price points across a diverse range of market segments

GREENFIELD DEVELOPMENT INFILL DEVELOPMENT

LAND & HOUSING 66%1 MEDIUM DENSITY 34%1

500 

600 

)

500 

600 

)

200 

300 

400 

Price ($00

0's)

dian average

dian

dian average

average

200 

300 

400 

Price ($00

0's)

dian average

dian

dian average

average

0 

100 

Doreen (VIC)

Epping (VIC)

Stanhope Gardens (NSW)

The Ponds (NSW)

City of Wanneroo

(WA)

JindowieYanchep (WA)

med

ALZa

med

med

ALZ a

ALZ a

0 

100 

Stanhope Gardens(NSW)

Braemont (NSW)

Town of Bassendean

(WA)

Bassendean (WA)

Endeavour Hills (VIC)

Endeavour Green (VIC)

med

ALZa

med

med

ALZ a

ALZ a

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1. By number of lots, 100% of joint ventures and PDAs

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Positioned for growthResidential

Pipeline is positioned to deliver growth in 2011 driven by

New project commencements on track with an end value in excess of $1 billion

Progressive reduction of impaired inventory

Pipeline is ~80% zoned with an end value of $8 1 billion

REDUCTION OF IMPAIRED SALES1 MAJOR PROJECT 2

STATE LOTS3 EXPECTED 

Pipeline is  80% zoned with an end value of $8.1 billion

30%

40%STARTS2 REVENUE 

START

Cranbourne West VIC 670 2H10

Springfield QLD 271 2H10

10%

20%

% sales Burwood VIC 228 1H11

Kangaroo Point QLD 167 1H11

Carlton VIC 278 1H11

Greenvale VIC 573 1H11

0%

2009A 2010F 2011F 2012F

Greenvale VIC 573 1H11

Parkville VIC 300 2H11

Clyde North VIC 1,200 2H11

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1. % of impaired sales revenue, ALZ share.  2010 ‐ 2012 based on forecast sales revenue2. Major projects which begin to contribute revenue in 2H10 or FY113. ALZ share

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Restructured debt platform

UNSECURED DEBT FACILITY

New $1.3 billion unsecured debt facility with 3 tranches maturing in 2012, 2013 and 2014 

New facility replaces $750 million Multi Option Facility and $396 million of bilateral bank facilities

$Significant milestone towards an unsecured debt platform by unencumbering $2.4 billion of assets

KEY BENEFITS

Improved debt maturity profile to 2.6 years

Reduced concentration of facilities expiring in any given year

Di ifi ti f f di ith ti i ti f dditi l b kDiversification of funding sources with participation of additional bank

Facilities available increased by $50 million

Positive impact on average cost of debt expected in 2H10Positive impact on average cost of debt expected in 2H10

Simplification of debt structure with associated administrative cost savings

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Capital management metrics

KEY METRICS 30 JUN 10Pro forma post 

31 DEC 09

new facility 

Gearing1 27.1% 25.4%

Covenant gearing2 (covenant 55%) 39.8 % 39.2%Covenant gearing (covenant 55%) 39.8 % 39.2%

Weighted average debt maturity3 2.6 years 1.7 years

Undrawn facilities plus cash4 $739m $760m

DEBT MATURITY PROFILE at 30 June 2010 pre new facility

DEBT MATURITY PROFILE at 30 June 2010 pro forma post new facility

$1,018m

Undrawn$468m $508m$437m

$346$325m

$362m

$650m

1. Interest bearing debt / total tangible assets (cash adjusted)

Drawn

2011 2012 2013 2014

$268m$346m

2011 2012 2013 2014

$362m

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g / g ( j )2. Total liabilities plus share of off‐balance sheet liabilities / total tangible assets plus share of off‐balance sheet assets (cash adjusted)3. By total facility expiry4. Net of bank guarantees

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Cost of debt

Cost of debt of 9.0% continues to be impacted by line fees, as we maintain a considerable level of 

h d f ili li iheadroom to facility limits

Average cost of debt is approximately 7.8% on a drawn basis

L i d li f d f ilit t iti l i t th f ll t f d btLower margins and line fees on new unsecured facility to positively impact the full year cost of debt

Hedge profile remains within our target range of 70%‐90%

COST OF DEBT 1H10 2H09 1H09

ICR of 3.2x in 1H10 (covenant >2.0x)

Weighted average cost of debt1 9.0% 9.0% 6.4%

% of debt fixed by hedges 89% 89% 78%

Weighted average hedge maturity 2.9 years 3.4 years 4.7 years

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1. All in cost of debt excluding establishment fees and net of interest income

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Summary

STRONG PROGRESS AGAINST CAPITAL MANAGEMENT OBJECTIVES

Extended debt maturity profile

Expanded funding sources

Maintained liquidity headroom

Positioned to reduce average cost of debt

ONGOING  FOCUS

Further improve debt maturity profile and diversify funding sources

Euro Medium Term Note Programme 

Replace CMBS with unsecured debt

Balance liquidity headroom against proactively managing our cost of debt

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Group business model

AUSTRALAND PROPERTY GROUP

RECURRENT INCOME(60%‐70% of Group EBIT) 

GROWTH(30%‐40% of Group EBIT) 

C&I

416 ha landbank$3bn end value

Investment Property

$2.0bn portfolio of high quality investment assetsDiversified across industrial and office sectors

RESIDENTIAL

22,000 lots$8.1bn end value$3bn end value

100% zonedDiversified across industrial and office sectorsLong term leases with quality tenant covenants

$8.1bn end value~80% zoned

WA1%

QLD16%

NSW13%

SA 6%

QLD20%

QLD11%

INDUSTRIAL55%

INDUSTRIAL54%

OFFICE46%

NSW41%

VIC40%

SA 6%

VIC61%

20%VIC54%

WA16%

NSW19%

OPTIMUMMIX OF RECURRENT INCOME AND GROWTH

55%

SA2%

16%

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OPTIMUM MIX OF RECURRENT INCOME AND GROWTH

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Group strategic plan

Recurring Target 60% 70% of Group EBIT from recurrent earnings

On track to meet stated strategic objectives

Recurringearnings

Target 60%‐70% of Group EBIT from recurrent earnings

FY10 result expected to be in line with target range as development earnings improve

Strong portfolio metrics maintained – 99.4% occupancy; 5.4 year WALE

Development returns

Improve development divisions’ ROACE1 to at least 12% by FY12

Fundamentals in office, industrial and residential sectors remain positivep

Development pipeline substantially zoned  

Progressive reduction in impaired and low margin stock

Replenishing pipeline through strategic acquisitions

Capital  management

Prudent capital management framework

Gearing of 27 1% at 30 June 2010 (within target range of 25%‐35%)Gearing of 27.1% at 30 June 2010 (within target range of 25% 35%)

Significant progress on key capital management priorities through establishment of unsecured debt facility

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1. Return On Average Capital Employed (EBIT / Average capital employed)

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Group outlook & guidance

Value creation on internal development 

Recognition of gains as revaluations rather than operating profit1

pipeline To apply to new projects from 2H102

In line with A‐REIT sector and supports our positioning for A‐REIT inclusion

FY10 earnings and  distribution guidance

Reaffirm earnings guidance: FY10 operating profit to be similar to FY09

Reaffirm distribution guidance: FY10 DPS of 20.5 cps

1H10 distribution of 10.0 cps declared and payable on 5 August

Outlook Valuations for quality assets are expected to improve

Earnings growth expected from FY11 as development returns improve

Strengthened management team driving improved performance

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1. Wholly owned projects only2. Including 357 Collins St

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Summary of profit and loss statementFinancial

HY10$m

HY09$m

Investment Property 83 78

Commercial & Industrial 11 23

Residential 24 14

Corporate (12) (12)

Eliminations 0 8Eliminations 0 8

EBIT 105 112

Net interest (35) (42)

Profit before tax 70 70

Tax 3 1

N lli i (12) (11)Non‐controlling interest (12) (11)

Operating profit 60 60

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Profit before tax reconciliationFinancial

HY10$m

HY09$m

Investment Property 86 70

Commercial & Industrial 9 19

Residential 18 7

Corporate (28) (21)

Eliminations (16) (5)Eliminations (16) (5)

Profit before tax 70 70

Tax 3 1

Non‐controlling interest (12) (11)

Operating profit 60 60

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Interest reconciliationFinancial

HY10$m

HY09$m

Gross interest 49 58

Less: capitalised interest (19) (20)

Interest expense in profit and loss 31 38

Add: capitalised interest expensed via COGS 7 5

Total profit and loss effect 38 44Total profit and loss effect 38 44

Interest income 2 2

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Balance sheetFinancial

JUN 10 $m DEC 09 $m

Assets

Cash

Receivables

Inventories

Investment properties

39

255

912

1,943

124

295

789

1,886p p

Investment properties held for sale

Equity accounted investments

Other assets

,

75

207

65

,

137

196

56

Total assets 3,496 3,483

Liabilities

Interest bearing liabilities 976 976

Other liabilities 270 264

Total liabilities 1,246 1,240

Net assets 2,250 2,243

NTA per security1 $3.44 $3.42

Gearing2 27.1% 25.4%

Covenant gearing3 39.8% 39.2%

38

1. Dec 09 restated for May 2010 security consolidation (5 into 1)2. Interest bearing debt / total tangible assets (cash adjusted)3. Total liabilities plus share of off‐balance sheet liabilities / total tangible assets plus share of off‐balance sheet assets (cash adjusted)

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NTA and securities on issue reconciliationFinancial

NET TANGIBLE ASSETS $m $ per security

20 0 9 3 2As at 1 January 2010

Gains from property revaluations

Movement in reserves / other balance sheet items

1,974

12

(4)

3.42

0.02

(0.00)

As at 30 June 2010 1,982 3.44

SECURITIES ON ISSUE Date No. of securities (m)

As at 1 January 2010

Impact of security consolidation (5 into 1) May 2010

2,884

(2,307)Impact of security consolidation (5 into ) May 0 0 ( ,307)

As at 30 June 2010 577

Weighted average number of securities 577

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Joint venture accountingFinancial

ALZ SHARE OF ASSETS AND LIABILITIES IN JVs AND ASSOCIATES JUN 10$m

DEC 09$m

Assets

Current inventory

Other current assets

476

52

514

65Other current assets

Other non‐current assets

52

69

65

69

Total assets 597 647

Liabilities

Current interest bearing debt

Other current liabilities

19

60

19

64

Non‐current interest bearing debt

Other non‐current liabilities

263

1

313

1

Total liabilities 342 397Total liabilities 342 397

Net assets 255 250

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Liquidity and debt facilitiesFinancial

Pro forma 30 June 2010FACILITY LIMIT 

$mDRAWN AMOUNT 

$mMATURITY DATE SECURITY

CMBS 268 268 Mar 20111 Secured

Bilateral bank facility 112 112 Dec 20121 Secured

Tranche A syndicated 325 250 Jun 20121 UnsecuredTranche A ‐ syndicated 325 250 Jun 20121 Unsecured

Tranche B ‐ syndicated 650 346 Jun 20131 Unsecured

Tranche C ‐ syndicated 325 0 Jun 20141 Unsecured

Total 1,680 976

Available facilities 704

Cash at bank 39

Bank guarantees (4)

Available liquidity 739Available liquidity 739

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1. Facility may be extended to December 2014 subject to satisfaction of conditions precedent

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Cash flow and liquidityFinancial

LIQUIDITY POSITION $m

Opening liquidity (1 Jan 2010) 760

Operating activities 44

Development commitments (41)Development commitments (41)

Sale of investment property 68

Investment property commitments (65)

Distributions and ASSETS (69)

Facility movements (90)

Oth (22)Other (22)

Closing liquidity (30 Jun 2010) 585

Reduction of secured facilities (1,146)

Increase of unsecured facilities 1,300

Pro forma liquidity 739

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Debt covenants1Financial

MEASURE COVENANT HY10

Interest cover ratio (cash basis) >2.0x 3.2x

EBIT / cash interest paid

Investment Property interest cover ratio >1.3x 2.0xInvestment Property interest cover ratio >1.3x 2.0x

Net operating income of IP / cash interest paid

Covenant gearing (look through) <55% 39.8%

Total liabilities plus share of off‐balance sheet liabilities / total tangible           assets plus share of off‐balance sheet assets (cash adjusted)

Priority debt <7.5% 0%

Secured debt (excludes CMBS and bilateral facility) / total tangible assets

Securityholders funds >$1.6 billion $2.2 billion

Total tangible assets less total liabilitiesTotal tangible assets less total liabilities

ReportingCompliance certificate 

bi‐annuallyComplied

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1. All covenants post 30 June 2010 for $1.3 billion unsecured facility

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Interest rate hedging profileFinancial

10.0%1,000

8.0%

9.0%

800

900Hedged amount (LHS)

Hedge rate (RHS)

6.0%

7.0%

600

700

$m

4.0%

5.0%

400

500

$

2.0%

3.0%

200

300

0.0%

1.0%

0

100

2010 2011 2012 2013 2014 2015 2016 2017 2018

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2010 2011 2012 2013 2014 2015 2016 2017 2018

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Hedging mark to marketFinancial

08 50%

(10)

0

7.50%

8.50%

(20)

6.50%

(40)

(30)

5.50%

$m

(50)

( )

4.50% Swaps MTM (RHS)

5 yr swap rate (LHS)

(60)3.50%

Jun‐09

Jul‐09

Aug

‐09

Sep‐09

Oct‐09

Nov

‐09

Dec‐09

Jan‐10

Feb‐10

Mar‐10

Apr‐10

May‐10

Jun‐10

Hedged rate (LHS)

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Investment PropertyPortfolio diversification

GEOGRAPHIC DIVERSITY1SECTOR DIVERSITY1

INDUSTRIALOFFICENSW41%

WA1%

QLD16%

54%46%41%

VIC40%

SA2%

TENANT PROFILE2

ASX listed companies 37%

Multinational companies 43%Multinational companies 43%

Government 8%

Other 12%

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1. By portfolio value2. By portfolio income

Total 100%

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Portfolio diversification1Investment Property

INDUSTRIAL – GEOGRAPHIC DIVERSITY2 OFFICE – GEOGRAPHIC DIVERSITY2

NSW34%

QLD29% NSWVIC

SA3%

VIC32%

WA2%

50%49%

3%

OFFICE KEY METRICS JUN 10INDUSTRIAL KEY METRICS JUN 10

QLD1%

OFFICE – KEY METRICS JUN 10

Portfolio value $0.9bn

Number of assets 18

INDUSTRIAL – KEY METRICS JUN 10

Portfolio value $1.0bn

Number of assets 50

NLA 251,423 sqm

Weighted cap rate 8.02%

NLA 892,322 sqm

Weighted cap rate 8.75%

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1. Excludes one property held for sale2. By value

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Lease expiry profile and rent review structure1Investment Property

INDUSTRIAL LEASE EXPIRY OFFICE LEASE EXPIRY

57%

22%

57%

37% 37%

1%6% 7% 6%

22%

1%6%

12%7%

INDUSTRIAL RENT REVIEWS OFFICE RENT REVIEWS

FY10 FY11 FY12 FY13 FY14 FY15+ FY10 FY11 FY12 FY13 FY14 FY15+

FIXED90%

FIXED94%

> of FIXED OR CPI 

10% CPI, EXPIRY, OTHER

6%

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1. By income, excludes 0.6% portfolio vacancy

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Top 10 tenants by incomeInvestment Property

PORTFOLIO INDUSTRIAL OFFICE

Wesfarmers (13%) Wesfarmers (18%) C’wealth Govt of Australia (11%)

C’wealth Govt of Australia (5%) LG Electronics Australia (5%) Nestle Australia (10%)

Nestle Australia (5%) Schweppes Australia (4%) Pricewaterhouse Coopers (9%)Nestle Australia (5%) Schweppes Australia (4%) Pricewaterhouse Coopers (9%)

Pricewaterhouse Coopers (4%) H.J. Heinz Co. Australia (4%) Wesfarmers (7%)

Tower Risk & Investment (3%) Toll Holdings (3%) Tower Risk & Investment (7%)

Qantas Airways (3%) Inchcape Motors Australia (3%) Qantas Airways (6%)

LG Electronics Australia (3%) DHL Global Forwarding (3%) TNT Australia (5%)

TNT A li (2%) R il Ad (3%) S G f NSW (5%)TNT Australia (2%) Retail Adventures (3%) State Govt of NSW (5%)

Schweppes Australia (2%) API (2%) National Australia Bank (4%)

State Govt of NSW (2%) Consolidated Paper (2%) Publishing & Broadcasting (3%)

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Strategically positioned landbanksCommercial & Industrial

Industrial landbanks located within close proximity to major transport networks

The Key Industrial Park, VIC West Park, VIC

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Eastern Creek Business Park, NSW SouthLink Business Park, QLD

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Pipeline optionalityCommercial & Industrial

INDUSTRIAL       PRE‐LEASE

INDUSTRIAL     LAND & BUILD

INDUSTRIALSPECULATIVE

INDUSTRIAL     LAND SALES

COMMERCIAL

Winston Hills

Eastern Creek

NSW

Eastern Creek

Moorebank

Rhodes

Macquarie Park

Northgate

QLD

g

Parkinson

Yatala

Berrinba

Pinkemba

Inala

West Park

Altona

Melbourne Airport

VIC

p

Keysborough

Dandenong

Rowville

357 Collins St

Freshwater (Stage 3)

Mulgrave

SA Burbridge Business Park

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WA Cockburn

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Residential Pipeline mix1

PIPELINE BY PRODUCT TYPE PIPELINE BY PRICE POINT

HIGH DENSITY10%

PREMIUM RANGE2%

LAND

HOUSING & MEDIUM DENSITY14%

10%

AFFORDABLEMEDIUM RANGE76%14%

67%RANGE31%

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1. By number of lots, includes 100% of joint ventures and PDAs

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Pipeline breakdown1Residential 

LAND HOUSING & MEDIUM DENSITY HIGH DENSITY

Discovery Point, NSWIvadale Lakes, QLD Solito, QLD

Projects 32 Projects 23 Projects 16

Lots 16,650 Lots 3,161 Lots 2,141

Assets $464m Assets $264m Assets $140mAssets $464m Assets $264m Assets $140m

End value $5.1bn End value $1.7bn End value $1.3bn

Average age2 4.4 yrs Average age2 3.0 yrs Average age2 7.6 yrs

Development life2 10.7 yrs Development life2 4.4 yrs Development life2 6.8 yrs

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1. Includes 100% of joint ventures and PDAs2. Weighted average by lots remaining

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Residential Pipeline timing

MAJOR WHOLLY OWNED PROJECTS

5,711 lots with an estimated on‐completion value of $2.7 billion

End value Lots FY10 FY11 FY12 FY13

Elderslie 115 28Lidcombe 80 58

d l

$m

NSW

Carindale 18 11Ivadale Lakes 294 92Kangaroo Point 167 160Springfield 271 70QLDPark Ridge 283 69Hamilton 850 452Runaway Bay 56 28

Cranbourne West 670 128Greenvale 573 136Burwood 228 125Doreen 200 48

P t C 309 603

VIC

Port Coogee 309 603Armadale 87 32Somerley 76 31Baldivis 765 181C kb C l 282 121

WA

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Cockburn Central 282 121

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Residential Pipeline timing

MAJOR JOINT VENTURES AND PDAs1

16,241 lots with an estimated on‐completion value of $5.4 billion

End value Lots FY10 FY11 FY12 FY13

Lidcombe 362 236Wolli Creek 1,094 717St Leonards 106 78

$m

NSW St Leonards 106 78Shell Cove 1,400 450The Ponds 690 270

Burleigh Heads 20 32QLD

NSW

Hope Island 418 153

Croydon 469 149Sunshine 500 189Parkville 600 263

QLD

Wallan 1,375 248Clyde North 2,400 658Beveridge 3,800 940Carlton 555 320

VIC

Carlton 555 320

Port Coogee 167 170Yanchep 1,191 257Byford 399 83E P h 128 68

WA

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1. Includes 100% of joint ventures and PDAs

East Perth 128 68

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Residential Estimated future pipeline1

PROJECTS LOTS REMAINING END VALUE ($m)

d i & i h d i & i hLand Housing & Medium  Density

High Density

Land Housing & Medium Density

High Density

NSW 16 2,437 512 1,201 919 335 795NSW 16 2,437 512 1,201 919 335 795

VIC 21 10,550 851 610 2,631 486 310

QLD 13 848 1,280 202 231 637 201

WA 21 2,815 518 128 1,295 226 68

Total 71 16,650 3,161 2,141 5,076 1,684 1,374

Wh ll d 40 3 694 1 825 192 1 529 974 216Wholly owned 40 3,694 1,825 192 1,529 974 216

JV / PDAs 31 12,956 1,336 1,949 3,547 710 1,158

Total 71 16,650 3,161 2,141 5,076 1,684 1,374

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1. Includes 100% of joint ventures and PDAs

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Residential 1H10 metrics1

SALES BY SEGMENT2LAND HY10

Lots settled 352

Average sale price $256k

Revenue $90mLAND68%

HOUSING & MEDIUM DENSITY23% Revenue $90m

HOUSING & MEDIUM DENSITY HY10

HIGH DENSITY9%

SALES BY GEOGRAPHY2

Lots settled 121

Average sale price $468k

Revenue $56m

NSW18%

WA

QLD12%

Revenue $56m

HIGH DENSITY HY10

VIC50%

20%Lots settled 44

Average sale price $852k

R $38

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1. ALZ share2. By lots

Revenue $38m

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Residential 1H10 metrics1

LOTS SOLD NSW VIC WA QLD TOTAL

Land 55 176 76 45 352

Housing & Medium density  27 58 27 9 121

High density 10 27 ‐ 7 44

Total 92 261 103 61 517

Wholly owned 16 164 82 51 313

JV / PDAs 76 97 21 10 204

Total 92 261 103 61 517Total 92 261 103 61 517

REVENUE ($m) NSW VIC WA QLD TOTAL

Land 13 32 36 9 90

Housing & Medium density  12 26 12 6 56

High density 9 22 ‐ 7 38

Total 34 80 48 22 184

Wholly owned 28 59 37 16 140

JV / PDAs 6 21 11 6 44

Total 34 80 48 22 184

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Total 34 80 48 22 184

1. ALZ share

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Disclaimer

Australand Holdings Limited (ABN 12 008 443 696)Australand Property Limited (ABN 90 105 462 137; AFSLN 231 130) as the responsible entity of AustralandAustraland Property Limited (ABN 90 105 462 137; AFSLN 231 130) as the responsible entity of Australand Property Trust (ARSN 106 680 424) and Australand ASSETS Trust (ARSN 115 338 513) Australand Investments Limited (ABN 12 086 673 092; AFSLN 228 837) as the responsible entity of Australand Property Trust No.4 (ARSN 108 254 413) and Australand Property Trust No.5 (ARSN 108 254 771)

L l 3 1C H b h B D iLevel 3, 1C Homebush Bay DriveRhodes NSW 2138Ph:   +61 2 9767 2000Fax: +61 2 9767 2900

Disclaimer of liabilityyWhile every effort is made to provide accurate and complete information, Australand does not warrant or represent that the information in this presentation is free from errors or omissions or is suitable for the recipients’ intended use. Subject to any terms implied by law and which cannot be excluded, Australand accepts no responsibility for any loss, damage, cost or expense (whetherdirect or indirect) incurred by any recipient as a result of any error, omission or misrepresentation in information in this presentation. All information in this presentation is subject to change without notice.

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Notes

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