ABACUS GROUP — Capital/Financing Update 2009

Jan 18, 2009

==> picture [131 x 72] intentionally omitted <==

==> picture [539 x 33] intentionally omitted <==

Distribution Reinvestment Plan

Abacus Property Group

==> picture [595 x 304] intentionally omitted <==

The Distribution Reinvestment Plan enables Abacus Property Group securityholders to reinvest their quarterly income distribution in additional Abacus Property Group securities at a discount.

• Participation in the Plan is optional.

• 2.5% discount applies to securities issued under the Plan

• No costs

• Equal ranking with existing securities

• Quarterly reporting

• An easy and convenient way to increase your holding in APG securities

Rules of the Distribution Reinvestment Plan

1. Who is eligible to participate?

All securityholders with a registered address in Australia are eligible to participate in the Plan.

2. How to participate

If you want to participate in the Plan, you must instruct the Registry by no later than 5.00 pm on the record date for the distribution in which you wish to participate. The record dates for Abacus Property Group’s distributions generally are the last day of March, June, September and December in each year.

Visit our Registry website to update your information online or download the relevant form to complete at your convenience. Instructions on how to access your information are provided on the Abacus website at www.abacusproperty.com.au/investor.asp.

3. Levels of participation

You can choose either full participation or partial participation in the Plan.

Full participation

If you choose full participation, all of your distributions will be reinvested in new securities.

Partial participation

If you choose partial participation, you must specify the percentage of your securities to participate in the Plan. The distribution on the specified percentage of your securities participating in the Plan will be reinvested in new securities. The distribution on those securities not participating in the Plan will be paid to you by direct credit in accordance with your previous instructions.

Abacus Property Group Distribution Reinvestment Plan 1

4. How to vary or terminate your participation

You can vary or terminate your participation in the Plan at any time by instructing the Registry. For a request to be effective for a particular distribution, it must be received before 5.00 pm on the relevant record date.

5. Issue price of securities

Securities will be issued under the Plan at a 2.5% discount to the market price of Abacus Property Group securities, rounded to the nearest whole cent.

The market price will be the average of the daily volume weighted average prices of Abacus Property Group securities traded in the ordinary course on the ASX over the period of 15 trading days commencing on the first trading day after the record date to which the distribution relates.

The issue price of securities under the Plan will be posted to the Abacus website.

Where a fractional entitlement to a security would result from the reinvestment, then that part of your distribution resulting in the fractional entitlement will be carried forward to be reinvested at the time of your next distribution.

6. No costs

Investors participating in the Plan do not pay any brokerage, commission, stamp duty or any other costs in relation to the issue of securities under the Plan.

7. Equal ranking

Securities issued under the Plan will rank equally in all respects with existing Abacus Property Group securities from the date of issue.

8. Quarterly distribution statements

Each quarter, Abacus will send you a distribution statement detailing the following:

• the number of securities held at the record date for the distribution;

• the number of securities participating in the Plan;

• the amount of the distribution payment (less withholding tax if applicable);

• the number of securities issued under the Plan;

• the issue price of the securities;

• your new holding of securities (including the securities issued under the Plan);

• any balance payable in cash in respect of partial participation; and

• any amount carried forward to be applied towards the calculation for the next distribution.

Abacus Property Group Distribution Reinvestment Plan 2

9. Taxation

Distributions reinvested under the Plan should be included in your taxable income on the same basis as if those distributions had been received in cash.

Abacus Property Group does not accept any responsibility for the tax liabilities of investors as a consequence of participation in the Plan.

As individual circumstances and laws vary considerably, you are advised to seek specific tax advice before participating in the Plan.

10. Sale of securities

After each issue of securities under the Plan, the Abacus Property Group will promptly apply to the ASX to have the securities listed, enabling you to trade.

If you have elected partial participation in the Plan, the Registry will treat a partial sale of securities as a reduction of the number of securities not participating in the Plan unless you notify it to the contrary.

11. Cost base of securities

Units in the Abacus Trust and Abacus Income Trust and shares in Abacus Group Holdings Limited and Abacus Group Projects Limited may only be issued under this Plan in identical numbers, stapled together.

The price of a stapled security issued under the Plan will be allocated between the units and the shares. A record of allocation is available from the Abacus website at www.abacusproperty.com.au/investor.asp.

12. Variation, suspension or cancellation of the Plan

Abacus Property Group may at any time vary, suspend or cancel the Plan. Investors will be notified of such an action. Should the Plan be suspended or cancelled, all distributions will be paid by direct credit in accordance with your instructions.

The accidental omission to give notice of variation, suspension or cancellation to any investor or the nonreceipt of any notice by an investor will not invalidate the variation, suspension or cancellation.

13. Definitions

Abacus Property Group means the Abacus Trust, Abacus Income Trust, Abacus Group Holdings Limited and Abacus Group Projects Limited trading on ASX as the Abacus Property Group (code: ABP)

ASX Australian Securities Exchange

Plan means the Distribution Reinvestment Plan established by these rules. Record date means the day the register is closed to determine distribution entitlements, generally being the last day of March, June, September and December.

Registry means the Abacus Property Group securities registry, details of which are provided at www.abacusproperty.com.au/investor.asp.

Trading day means a trading day as determined by ASX

Abacus Property Group Distribution Reinvestment Plan 3

NEED MORE INFORMATION?

If you have any questions about how the Plan operates, please contact your financial adviser, email enquiries@abacusproperty.com.au or call Abacus on 1800 253 860.

You can update your distribution payment instructions online via our Registry’s website, details of which are available from the Abacus website at www.abacusproperty.com.au/investor.asp.

Updated: 19 January 2009

Abacus Property Group Distribution Reinvestment Plan 4