ARSN 088 581 097

23 February 2007

Half-Year Report to 31 December 2006

Bunnings Property Management Limited, the responsible entity for the Bunnings Warehouse Property Trust wishes to advise that the Half-Year Report to 31 December 2006 will be mailed today to Unitholders who have elected to receive reports.

A copy of the Half-Year Report to 31 December 2006 is attached to this announcement and will also be available on the Trust's website at www.bunningspropertytrust.com.au

ANTHONY NIARDONE Company Secretary

Half-year Report

佛書

珊

En manth shoen (december 2006

The Bunnings Warehouse Property Trust comprises predominantly warehouse retailing properties and in particular, Bunnings Warehouses tenanted by Bunnings Group Limited a wholly-owned subsidiary of Westarmers Limited Manager

2003.22.1. ATA 241.39 (32.12)

Objectve; 2xwbe hilliotiers with a secure, growing income stream and capital growth

TANA

Unit price (S)

31 Dec 2006

MARITA

41020440057

Opjectives Distribute all net intenne each fhandal year

Distriction (cents per unit)

$-100000$

Interim 2007

HIGHLIGHTS

Distribution of 6.42 cents per ordinary unit - up 3.2 per cent on December 2005

Acquisition of an existing Bunnings Warehouse store in North Belmont, NSW

Completion of property updrades at Calins, Croydon and Lismone

A 15.7 per cent increase in the fair value of Trust properties for the six months... to \$834.4 million

Net tangible asset backing per unit di \$1.98 at 31 December 2006

PERFORMANCE

The Trust's performance in the six month period to 31 December 2006 resulted in a 5.8 per cent increase
in income to \$28.8 million. Distributable profit earned for the period was up 3.1 per cent to \$19.4 million in comparison With the previous corresponding beried. The fair value of the Trust's properties increased by 15.7 per cent to \$834.4 million during the six months to 31 December 2006. Em

Financial (performance Halt-year ended in Oscernber			Temmun Centr
Total Income (1998) Bat 28.8
NEC 232 House Communications of the State of the State of the State of the State of the State of the State of
Universed departition refer
of investment properties thm: 94.3			TANA ANG PANGKALAN
Distributable profit ______
Bastribution per ordinary unit - (seecall links 42)			₩Æ
Tax advantaged component (estimate) (1999 - 23.66) - 23.66
			AZULARUM
Tuel'Assets Inc. (a) \$25.7			ZEZO COMUNICO
Sorrowings The Commission		.	MARITE SUMM
Univolvers sauly Allian S hi			ANGELIA
Gearing (usb) to total acceled una		----
Nicholar of units on issue computer that the 1901
Natural Shan Molders (1970) 12,340			SANGSI KALENDAR SANG
Katalong Manazara at tangg
1988 Roman Management Andrew Management (1988 Roman Andrew Management Andrew Management Andrew Management (19
i prisent of Diversität I		kin ku

	323 million of DV 25 W

Distribution M

Objective: Add quality
properties to the portfolio

Properties

01 Dec 2005

Rillbrock Andre

PROPERTI en
En

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	œ	B oller	STIPS

Aibrich	æim	Kija komunist	W.
Wednesday	96	$25.962$ . $\pm$	Weithermy
STEPHENS SCHOOL COMPANY arang sepanjung	w	1949 - Jan Ja	main
	₩ zwin	Santa uleci M	m 73.
Joogdalup Mandurah	æ	wixem	32
Victoria	www.	engan	89
Mindark Manlay	œ	Charles Communication	mene
n an Airsteacha	msii	SARA MARTIN	37
Press Manufacturer	₩₩ 43. WA 200	194397 (C	mko

Violona militaria e a
Alfonzi ili militari ili sulla scheme della		D. J	78
522233333300000000000000000000000000000 örperala sherucare		13 12 7. JEROV	with kw
Sitetimetalev.K		80238	20
Craydon (Craydon)		atika	- 60
Dandenong mummur		VANGI)	muzik
See Born (1999) May nice and Containing Communist Contains and	RWAIII	envast w.	a Kar mro
23-24-245-0-22 00:00 00:00 00:00 00:00 00:00 00:00 00:00 00:00 00:00 00:00 00:00 00:00 00:00 00:00 00:00 00:00	289	KWAZ	WIQIA
interpretect Christopher (1999)	w.	KANDIN	WERG
Vetinovanskov Mankine (1997)	w	-372	37
Monshiploxyana	æw æ	TANGSANG MIN 2602	a judeks W WAX
Rossier Land	w	vareen m	mez
Nunawading ^: Qakteigh South Sandown	₩	W. 786	WZ
	77	Television	ware
Tarahy (1999)	æ	W32W156 aliwa	833 1132)
Support in the second control	w qui		e vo
Marketora Indian State Communist	33	10.664. Alisti	ningeren
223333			Miller
Australian Capital Territory
Monte de	720a	Antoni	aturut
HERE: HOOR SECTION	25	krozku	mez
THE REAL PROPERTY OF A REAL PROPERTY OF A REAL PROPERTY.		16.5%.W	硬蛋白

. . . . . . . . . . . . . . . . . .

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35521131931		80825	878
Communication of the Communication of the Communication		e termin	a ik
New South Wales
Antoninae i mari	wa	emezge	EWSZKI S
Contract of the Contract of the Contract of the Contract of the Contract of the Contract of the Contract of th	win	CANON	40
SAMARA MARKATAN DI PARA PERANJARAN DI PADA PADA PADA PADA PADA PADA PADA P	Z.	KUMA	mun
Colls Revenue - -	W	987	32
W. LEWIS CO., LANGUARD MARINE AND ANNO 1999	28.	▓▓▓	▒▓₩₩
MARKET COMMUNISTIC		TALAN	₩
Marchinistin Hardwall Dar Franger (*		meni	mez
Hiller e gwynnydd y g	200 æ	œm WXXXIII	M 20
Valbrasse _l	20	ZAMAR	220
RECEIVED A SERVICE AND RELEASE	20	37. RSW	era

Queenstand Management
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021128 OSISISTED STATES IN THE THE TELL BELLEVILLE		vanan	antern
Cistoiriden Gentre (Communication)		2019	84.
REGIONS COMMUNIST
BRUNDFROM COAT		13 Marshal	www.
Hervey Stay: Million III.		ERU BAGIL	92kuu
Newmane II	œ	a wasan	78 W.W
START PROGRAMM	a ya k	czy	enz
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Grand Total Time The Basic State		MARITA	waxe

Graf refail area of the Bundings
warehouse and of the Bundings
warehouse and of the Bundings
models area installed area in the state of the state of the
state of the state of the state of the state of the state
in the cre

ipriades (and its 4 nectares) for arous
Bunnings Group Limited pays the
Trust an access fee of \$48,000 per

es ortenumente es anteriorisme
des adjournes sponseries lo
res) for which Eumings Droup
u.47 per antium acceso les
u.47 per antium acceso les
se not distuded in above numbers

Objective: Protect

Average lease
expiry (years)

REPORT TO UNITHOLDERS

The directors of Bunnings Property Management Limited, the responsible entity for the Bunnings Warehouse Property Trust, are pleased to present this interim report to unitholders covering the financial results of the Trust for the six months to 31 December 2006 and a brief merview of the activities of the Trust.

Activities during the period included the acquisition of an established Bonnings Warehouse property, the completion of property upgrades to three Bonnings Warehouses, five market rent reviews and strong upward revaluation of the fair value of the portfolio.

Financial results

Total income for the period was \$28.8 million, up by 5.8 per cent from last year's \$27.2 million due to the additional income received from additions to the property portfolio, market rent reviews and annual indexation of rentals to the consumer price index.

The Trust reported a distributable profit of \$19.4 million earned during the half-year, an increase of 3.3 per cent on the distributable profit of \$18.8 million in the comparative period last year.

Finance costs of \$6.5 million were 10.2 per cent higher than the comparative six months due to an increased average level of debt from \$392 million to \$208 million and the increase in weighted average interest rates from 5.89 per cent to 5.98 per cent.

Interim distribution

An interim distribution of 6.42 cents per ordinary unit has been dectared. This is an increase of 3.2 per cent on the prior corresponding period (6.22 cents per unit).

Interim distributions will be made on 23 February 2007 to unitholders on the Trust's register as at 5.00 pm on 29 December 2006.

The estimated tax advantaged component of the distribution is 23.66 per cent.

Property acquisitions, developments and upgrades

During the half-year, the Trust ourchased an established Bunnings Warehouse property at North Belmont, in New South Wales, approximately 16 kilometres south of the Newcastle CBD. The 8000 series Bunnings Warehouse was acquired for \$10.85 million from a third party and is subject to a lease with Bunnings Group Limited until March 2016, with two options for a further five years each, exercisable by the tenant.

The Trust also completed upgrades to properties at Cairns in Queensland (\$0.9 million, finalised in September 2006), Croydon in Victoria (\$5.6 million. finatised in October 2006], and Lismore in New South Wates (\$0.6 mittion, finatised in September 2006). The remaining vacant showroom adjacent to the Bunnings Warehouse at Bayswater has been teased as an Autobarn outlet for an initial seven year term commencing November 2006 and two options of five years each, exercisable by the tenant.

Total capital expenditure on the portfolio during the half-year amounted to \$19.0 million.

At 31 December 2006 the average lease expiry term of the portfolio was 8.5 years.

Market rent reviews

During the period market rent reviews were scheduled for five properties, one of which has been agreed and the remainder are being independently determined or negotiated.

Both parties have agreed to no increase in rent at Frankston in Victoria as the passino rental was considered to be at the market level.

Independent valuers have been appointed to determine the market rent for Mindarie, Midland and Geraldton. Negotiations are continuing regarding the market rent for Coffs Harbour.

Revaluations

During the half-year the entire Trust portfolio was revalued in accordance with Australian Equivalents to International Financial Reporting Standards (AIFRS).

Eleven property revaluations during the period were performed by independent valuers. The remaining 42 properties were subject to directors' revaluations. The directors' revaluations are subject to review by an independent valuer.

The value of the contolic increased to \$8%.4 million following net revaluation gains of \$94.3 million and \$19.0 million capital expenditure during the six month period ended 31 December 2006. The net revaluation gains reflect the effects of rental growth and continued yield compression in the property market.

The net revaluation gain of \$94.3 million is recorded as an unrealised gain in the Income and Distribution Statement and in accordance with a resolution passed by unitholders in December 2005 will not be distributed to unitiolders

Financial position

As at 31 December 2006 the Trust's total assets had grown to \$846.7 mittion with unitholders' equity of \$599.9 million and total tiabilities of \$246.8 million.

The Trust's gearing ratio (debt to total assets) at 31 December 2006 was 25.9 per cent, and within the preferred range of 20 to 40 per cent.

Unitholder return

The Trust's unit price at 31 December 2006 was \$2.16. up 10.8 per cent from \$1.95 at the same time tast year.

The Trust provided unitholders with a total return, comprising capital appreciation and distributions, of 17.3 per cent in the 2006 calendar year compared with 14.0 per cent for the 2005 calendar year.

Interest rate management

The Trust has a policy of hedging the majority of its borrowings against interest rate movements to ensure stability of distributions. The responsible entity continues to actively manage the Trust's exposure to interest rates, taking additional cover as considered appropriate to meet debt related commitments.

At 31 December 2006, the Trust's hedging cover was \$177 million against interest bearing debt of \$219 million. The average interest rate paid on debt after hedging but excluding margins for the six month period was 5.98 per cent, compared with 5.89 per cent for the prior corresponding period.

Outlook

While disappointed by the lack of acquisitions from Bunnings Group Limited during the half-year, the Trust will continue to actively pursue further acquisitions from both Bannings Group Limited and etsewhere.

Internet site

The Bunnings Warehouse Property Trust internet site, www.bunningspropertytrust.com.au is a useful source of information for unitholders. It includes details of the Trust's property portfolio, current activities and future prospects.

The site provides access to annual and half-year reports and also contains releases made to the Australian Stock Exchange covering matters of relevance to investors.

Distribution Reinvestment Plan

to view of the gearing level of the Trust the directors have resolved to keep the Distribution Reinvestment Plan suspended until further notice.

Thank you for your ongoing support of the Bunnings Warehouse Property Trust.

For Bunnings Property Management Limited.

Bill Cairns CHAIRMAN

itiminanamat – Crerisho Creschool (_com

Grant Gernhoefer CRAFRAI MANAGER

8 February 2007

CONDENSED INCOME STATEMENT
AND DISTRIBUTION STATEMENT
For the half-year ended 31 December 2006,


	Dacember
	ŰÔ	និងប៉ុនប្រវាជនជ :65
	Sses.	\$330

Continuing operations
Rental income	27,960	14.575
Other property income	589	533
Interest income ,	. 158
Other income	-62
Total income	28,749
Usreatised gain in fair value of
investment properties	94,319	35,807
Responsible entity's fees-	${2,177}$	(1,896)
Other operating experiess	{714}	[588]
hiet profit from continuing aperations
before finance costs :	120,177	40,692
Finance costs	{6,496}	[6, 897]
Net profil from continuing operations.
attributable to unitholders of Bunnings
Warehouse Property Trust	113.681	34.SS

Distribution statement
Net profil sitribulable to unitholders of , Bunnings Warehouse Property Trust.	113,681	34.SPE
Undistributed income at the beginning
of the period $\ldots$	171,199	133,964
Distributions paid or payable.	{19,352}	18,749}
Undistributed income at the end of the period
	265,528	149,810
Basic and diluted earnings (cents per unit) ing the half-year	37.7	-71.5

'Basic and dibited earnings [cents per unit] $+ \sim +$
for the half-year excluding unrealised gain


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CONDENSED BALANCE SHEET
Aș at 31 December 2006 -



	Decembar	kne	Deqember
	-06	86	85
		SX:0	\$8ast

Current assets
Cash gesets	5,707	6,212	5,728
Other receivables	1,585	-344	891
Derivative financial instruments	57	- 36
Total current assets <	7,349.	6,592	6,319

Non-current assets
Investment properties frefer.Note 21	834.400	721,125	695,300
Other receivables	-850	- 850	850.
Derivative financial instruments	4,134	3.045
Total non-current assets	839.384	725,020	696,150
Total assets	846,733	731,612	702,469

Current liabilities
Payables	8,386	16,918	7.826
Interest-bearing loans and borrowings is a ch
Derivative financial instruments		149.430 34	-532
Distribution payable	19,352	. 19,262	18,749
Total current liabilities	27,738	75.644	27,107

Non-current liabilities
Interest-bearing loans and
borrowings, Andre	219,063	51,469	195,883
Total non-current liabilities Total liabilities	219,063 246.801	51.469	195,818 222,925
		727.JO
Net assets	599,932	504.499	479.54,4
Unitholders' equity
issued capital.	330,233	330,233	330.233
Reserves	- 4,171	- 3.067	- 1499)
Undistributed income	265,528	QUIQ9	149,810
Total unitholders' equity	599.932	304.495	679.54A
Net tangible asset backing
per unit j			\$1.53

The condensed balance sheet should be read in conjunction with the accompanying notes

$\frac{1}{2}$

しんしんしんしんしんしんしんしんしんしんしんしんじんしんじんしんじ

CONDENSED CASH FLOW STATEMENT For the half-your ended 31 December 2006



	December	Qecember
	ο6	05
	Şoss
Cash flows from operating activities
Rent received	31,409	28,681
Payments to suppliers	13,4671	- 1857)
Payments to the responsible entity.	$ 2,111\rangle$	[1,996]
Interest received	-158	61
Figance costs.	{6,360}	[6, 106]
Net cash flows from operating activities	19,629.	39.783
Cash flows from investing activities
Payments for purchase of, and additions to,
the Trust's property investments -	{19,036}	(30,208)
Net cash flows used in investing activities	{19,036}	(30,208)
Cash flows from financing activities
Proceeds of barrowings	18,164	29,000
Distributions paid	{19,262}	(18,599)
Net.cash flows (used )p)/from
financing activities	{1,098}	10,401
Net decrease in cash	15031	~(24)
Cash at the beginning of the period	6,212	5.752
Cash at the end of the period	6,797	5.728
The condensed cash flow statement should be regi in conjunction with the accompanying notes.

والمتحاولة المتحاولة المتحاولة والمتحاولة المتحاولة المتحاولة المتحاولة والمتحاولة

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CONDENSED STATEMENT OF CHANGES IN EQUITY .
For the half-year ended 3( December 2006

$\bar{\psi}{\rm{max}}$ $\hat{\mathcal{L}}{\text{max}}$ $\sim$

المتواطنين

$\mathcal{L}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A}}(\mathcal{A}^{\mathcal{A$

$1.1.1.1.1.1$

$\mathcal{L}^{\mathcal{A}}\left( \mathcal{A}^{\mathcal{A}}\right) \left( \mathcal{A}^{\mathcal{A}}\right) \left( \mathcal{A}^{\mathcal{A}}\right) \left( \mathcal{A}^{\mathcal{A}}\right)$

95,

lsozet	Basketer kend
`capusi	incone	Reserves	Total
- 823	- 928	$>$ Scene $\,$ .	-220


Balance at 1 July 2005 330,233	133.964	[1,204]	1462,993

spbeg ni hearnsvoMr
-derivatives - ·		705,
Total income and expense
for the period recognised
directly in equity -			$\sim$ -705
Net profit for the period	34.595		34.595
Equity distributions	(18,749)		10.7491
Balance at
31 December 2005
339,233	$-149,810$	™(499)	479.544

Balance at 1 July 2006. 330,233	171.KW	$\begin{array}{c} \text{\textcolor{blue}{\chi} \textcolor{blue}{0.067}} \end{array}$	504,499

Movement in hedde
derivatives <		19. IQA -
Total income and expanse
for the period recognised
directly in equity $\sim$		1.104	-1,104
Net profit for the period	117.681		413.681

Equity distributions	19.352)		(19.352)
:Balance at
:31 December 2006 339,233	265,528	4,971.	599.932

The condensed statement of changes in equity should be read in conjunction with the 9.
Drug accompanying notes. m. ing.
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$\sim$

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NOTES TO THE HALF-YEAR FINANCIAL STATEMENTS

For the half-vear ended 31 December 2006

1 Basis of preparation of the half-year financial report

The financial report of Bunnings Warehouse Property Trust [the Trust] for the half-year ended 31 December 2006 was authorised for issue. in accordance with a resolution of the directors on 8 February 2007. The Trust was constituted under a Trust Deed dated 18 June 1998 as lamended. The Trust is managed by Bunnings Property Management Limited. Both the Trust and the responsible entity are domicited in Austratia.

. The half-year financial report does not include all notes of the type. -normally included within the annual financial report and therefore cannot be expected to provide as full an understanding of the financial performance, financial position and financing and investing re Cal activities of the Frust as the full financial report. "

The half-year financial report should be read in conjunction with the annugi financial report of the Trust as at 30 June 2006. . . .

this also recommended that the half-year financial report be considered together with any public announcements made by the Trust during the balf-year ended 31 December 2006 in accordance. with the continuous disclosure obligations arising under the < Corporations Act 2001.

[a] Basis of accounting

The half-year financial report is a general-purpose financial report, which has been prepared in accordance with the requirements of the Constitution of the Trust, the Corporations Act 2001, applicable. Accounting Standards Including AASB 134 Interim Financial Reporting and other mandatory professional reporting requirements, The half-year financial report has been prepared on an historical cost basis, except for investment properties and derivative financial, instruments that have been measured at fair satue.

The financial report is presented in Australian dollars and all values gre-rounded to the nearest thousand dollars (\$1000) under the option [available to the Trust under ASIC Class Order 98/0100. ]

For the purpose of preparing the half-year financial report, the half-year has been treated as a discrete reporting period. ..

(b) Statement of compliance

The half-year financial statements have been prepared using the same accounting policies as used in the annual financial statements for the year ended 30 June 2006. [...]

Australian Accounting Standards and Urgent Issues Group . interpretations that have recently been issued or amended and are effective from 1 July 2006 have resulted in no material changes in accounting policies and therefore no material impact on the Trust's. tinancial performance or position for the half-year.

NOTES TO THE HALF-YEAR. FINANCIAL STATEMENTS

For the half-year ended 31 December 2006. 교사가 $\mathcal{O}(\mathbb{Z}{2n})$ . The condition of $\mathcal{O}(\mathbb{Z}{2n})$

2 Investment properties

	· Raiance or . . 30. June - 送出会 532	Mayament ∴, penedi 15333	i i Batance ar darms the [19] December - 230ê 1 Kasa
· Purchase price.	-353.435	r 10.850 -	-364.285
² Acquisition costs	21,223	636-	21.882
- Capital improvements since :
lapguisition	375,287		$-7.472$ and $-182.759$
- Faic value adjustment	171.180	96.319	265.699
i Fair yatue i	721.125		. 713.275 - L. 834.400

Investment properties are carried at fair value. Fair value for individual properties is determined by a full independent valuation completed at least every three years by an independent valuer who holds a relevant professional qualification and has recent experience in the location and category of the investment property. During the six months [84]. to 31 December 2006, it property revaluations were performed by . Independent valuers, . . $\sim$

Properties that have not been independently valued as at a balance date are carried at fair value by way of Directors' valuation. The methodology and assumptions of the Directors' valuations are subject to an 1 independent verification process by Jones Lang LaSalle. [11] [[

During the half-year the Trust purchased from a third party an 1 Sestablished Bunnings Warehouse property at North Belmont, New--South Wales, for a purchase price of \$10.85 million. The property is $\pm$ leased to Bunnings Group Limited until March 2016 with two options for a further five years each exercisable twiths tenant. [11]

During the half-year upgrades were completed to properties at 11 [Cairns, Queenstand (\$8.9 million); Croydon, Victoria (\$5.6 million) and [ Lismore, New South Wates [\$0.6 million]. -

3 Segment reporting

The Trust operates wholly within Australia and derives rental income $\sim$ from investments in commercial property, $\sim$ $\sim$ $\sim$

4 Issued capital

There was no movement in ordinary units on issue during the current period.

NOTES TO THE HALF-YEAR EINANCIAL STATEMENTS

For the half-year ended 31 December 2006

5 Events after the balance sheet date

On 24 January 2007, the Trust purchased three office/warehouse .
Toroperties from J Blackwood and Son Limited (Blackwoods), a wholly , owned subsidiary of Wesfarmers Limited, for a total purchase orice ( $\sim$ of \$19.36 million. The properties are located in key industrial areas in . -. Sydney, Perth and Adelaide and are between 1.1 and 1.4 hectares in Th area. The properties are leased back to Blackwoods for an initial term, of seven years with two five year obtions exercisable by Blackwoods. The leases for the Sydney and Perth properties allow Blackwoods to wast after three years. Blackwoods must provide 12 months' notice, - should it decide to exercise its option to exit either of these two properties, which should provide adequate time for the Trust to $\gamma$ re-lease the properties, $\left\langle \Gamma_{\rm c} \right\rangle \left\langle \Gamma_{\rm c} \right\rangle$ An Propinsi

In January 2007, the Trust committed to upgrade works at the Mandurali property with a cost of \$1.7 million. The incremental rent for the properly will be \$139,000 per aboum. a State Charles Co.
Tha an taobh an t-Saolain

In early February 2007, the market rent review for Mindarie was . determined by an independent valuer appointed by the President ) of the Australian Property Institute. The revised annual rent is $\gamma$ 1\$1,195,000, a 19.7 per cunt increase on the passing ren). The revised Frent will apply from 5 September 2006. The r

6 Capital expenditure commitments

	December 06	Deceniber 05
	.\$888	ŠIKE:
Estimated capital expenditure contracted for at -balance date, but not provided for, payable:
Wal later than one year.
, Retated Parties	5,758	6,709
Later than one year and not later than five years
Retated Parties	6,760	6.700
	12.458	. . 13.489.

NOTES TO THE HALF-YEAR-FINANCIAL STATEMENTS

.
For the half-year, ended 31 December, 2006

Maribyrnong, Victoria

In June 2001, the Trust acquired a 3.4 hectare development site. at Maribyrnong for a purchase price of \$7.1 million. The Trust has accepted a proposal from Bunnings Group Limited to develop a Bunnings Warehouse on the site for \$6.7 million. Under the terms of the proposal, the Trust will receive an annual rentst of \$1,250,000 when a Bunnings Warehouse is developed on the site.

Mile End. South Australia

.
In October 2006, the Trust committed to uporade works at the Mile End property with a cost of \$2.4 million. The incremental rent for the property will be \$188,000 per annum.

Morayfield, QLD

In December 2006, the Trust committed to apgrade works at the ---Morayfield property with a cost of \$3.4 million. The incremental rent for the property will be \$272,000 per annum.

7 Contingent assets and liabilities

There have been no major changes since the last annual reporting date. 21

	DIRECTORS REPORT

For the half-year ended 31 Occernber 2006 서울에서 누워 있는데

In accordance with the Corporations Act 2001, Bunnings Property ( Management Limited (ABN 26 082 856 424), the responsible entity of Bunnings Warehouse Property Trust, provides this report for the Tinancial half-year ended 31 December 2006. The information on [pages 9 to 13 forms part of this directors' report and is to be read in $\bigl($ conjunction with the following information. en de la familien de la familien de la
1990 : les familien de la familien de la familien de la familien de la familien de la familien de la familien
1990 : les familien de la familien de la familien de la familien de la fa

Directors..............

The hames of directors of the responsible entity in office during the. In
goods! half-year and until the date of this report werg.
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Coimhlige ann wW, rang ing kabupatèn
Kabupatèn Sulawe $W$ H Caims $\stackrel{\sim}{\sim}$

$\overline{U}$ A Austin $\sim$ . P J Mansell - 2007 P.J. Johaston (China

.
Directors were in office for this entire period. an menggar pada atau sahiji

.
Review and results of operations and consider the constant of the constant of the constant of the constant of

The operations of the Trust during the six manths to 31 December 2006 and the results of those operations are reviewed on pages 9 to 13 of this report. god the accompanying financial statements. The Control of the Sec

	Becamber	Ekroernbe
	Ωó	ΩË
	- \$666	32637

:Net profil	313,681	34.S95

Distributable income for the period	19,362	18.788
Opening undistributed profit
Adjustment on introduction of A(FRS)
- Distribulable income	19.380	18,252

The interim distribution is 6.42 cents per ordinary unit (2005; 6.22 cents). S. This interim distribution will be made on 23 February 2007. $\sim$

And the second control of the second control of the second control of the second control of the second control
Second control of the second control of the second control of the second control of the second control of the At 31 December 2006, 301,435,539 units of Bunnings Warehouse Properly Trust were on issue [30 June 2006; 30 435.539].

ng California
Chaidh an a-tha tha tha

	e Presidentiale (1990). The San Anglis a la p
DIRECTORS' REPORT
For the half-year ended 31 December 2006 .


Auditor independence and non-audit services	The directors received the following declaration from the external auditor:
Ef ernst & Yourne
	The Crust & Temey Millether = Tel 4: A R4X9 2222 TI Manne Sey Riell Purê: VKA, 6ÓKC Anstralia
	CPO 800 06939 PHIT NA 8843
Property Management Limited	Auditor's Independence Declaration to the Directors' of Bunnings
	In relation to our review of the financial report of Bunnings Warehouse
	Property Trust for the financial half-year ended 31 Becember 2006, to the best of my knowledge and belief, there have been no contraventions.
or any applicable code of professional conduct	of the auditor independence requirements of the Corporations Act 2001
a shekara ta katika da wasan ƙwallon ƙafa ƙ
Ernst & Young	C B Pavlovich
Perth, 8 February 2007	Partner


the common high control	Signed in accordance with a resolution of the directors of Bunnings
Property Management Limited. Consult
an ang tagang mga magalang ng mga mga mga mga mga mga mga mga mga mg
WH Cairns ,
att trong or Chairman Bunnings Property Management Limited
	an de la familie de la partie de la familie de la familie de la familie de la familie de la familie de la fami La familie de la familie de la familie de la familie de la familie de la familie de la familie de la familie d

an an S	de la componició de la componició de la componició de la componició an San Salaman (na baile an t-air an t-air an t-air an t-air an t-air an t-air an t-air). Tha an t-air an t-air an t-air an t-air an t-air an t-air an t-air an t-air an t-air an t-air an t-air an t-ai T-air an t-air an t-a
i novel $\gamma_{\alpha\beta\gamma}$

DIRECTORS DECLARATION In accordance with a resolution of the directors of Bunnings Property Management Limited, responsible entity for the Bunnings Warehouse Property Trust line Trust), I state that ... $\ln \beta$ the opinjon of the directors: $\tilde{\beta}$ (a) the financial statements and notes of the TrusLare in accordance with the Corporations Act 2001, including $\left[\begin{array}{ccc} 0 & 0 \end{array}\right]$ [i] giving a true and fair view of the Trust's financial position as at 31 December 2006 and of its performance for the half-year - $\zeta$ ended on that date; and $\zeta_{\zeta}$ , (iii) complying with Accounting Standard AASB 134 Interim Financial $\lceil \mathsf{Re}$ porting and Corporations Regulations 2001; and $\lceil \mathsf{Im} \rceil \rceil$ (b) there are reasonable grounds to believe that the Trust will be able to pay its debts as and when they become due and payable. ... For and on behalf of the board of Bunnings Property Managerment Limited. WH Cairns Chairman Bunnings Property Management Limited Perth, 8 February 200) 24

INDEPENDENT REVIEW REPOR

To the unitholders of Bunnings Warehouse Property Trust

Report on the Half-Year Financial Report

.
We have reviewed the accompanying half-year financial report of [Bunnings Warehouse Property Trust ("the Trust"), which comprises the condensed balance sheet as at 31 December 2006, and the condensed income statement, condensed statement of changes in equity and 1 condensed cash flow statement for the half-year ended on that date, a statement of accounting policies, other selected explanatory notes and the directors' declaration.

Directors' of Bunnings Property Management Limited Responsibility for the half-year Financial Report $\cdots$ , ...

The directors of the responsible entity are responsible for the preparation and fair presentation of the half-year financial reportin accordance with Australian Accounting Standards (including the Australian Accounting Interpretations) and the Corporations Act 2001. I This responsibility includes designing, implementing and maintaining internal controls relevant to the preparation and fair presentation of the half-year financial report that is free from material misstatement, whether due to fraud or error; selecting and applying appropriate... accounting policies, and making accounting estimates that are $\sim$ reasonable in the circumstances.

Auditor's Responsibility

Our responsibility is to express a conclusion on the half-year financial report based on our review. We conducted our review in accordance with Auditing Standard on Review Engagements ASRE 2410 Review of an Interim Financial Report Performed by the Independent Auditor of the Entity, in order to state whether, on the basis of the procedures. idescribed, we have become aware of any matter that makes us believe that the financial report is not in accordance with the Corporations Act 2001 including: giving a true and fair view of the Trust's financial position as at 31 December 2006 and its performance for the half-year. ended on that date; and complying with Accounting Standard AASB 134. Interim Financial Reporting and the Corporations Requistions 2001 and other mandatory financial reporting requirements in Australia. As the auditor of the Trust, ASRE 2410 requires that we comply with the ethical, requirements relevant to the oudit of the annual financial report, ...... A review of a half-year financial report consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is the -substantially less in scope than an audit conducted in accordance with Australian Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion. . ...

INDEPENDENT REVIEW REPORT Independence .
In conducting our review, we have complied with the independence requirements of the Corporations Act 2001. We have given to the directors of Bunnings Property Management Limited, responsible enlity of the Trust, a written Auditor's Independence Declaration, a copy of which is included in the Directors' Report. k. Based on our review, which is not an audil, we have not become aware of any matter that makes us balleve that the interim financial report of Bunnings Warehouse Property Trust is not in accordance with: (a) the Corporations Act 2001, including. -[i] [giving a true and fair view of the Euronings Warehouse Property] Trust's financial position as at 31 December 2006 and of its [1] performance for the half-year ended on that date; and [ii] complying with Accounting Standard AASB 134 Interim Financial $\beta$ eporting and the Corporations Regulations 2001; and $\beta_{\rm max}$ (b) other mandatory financial reporting requirements in Australia. Ernst & Young C.B. Pavtovich Parth, 8 February 2007

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