CHARTER HALL GROUP

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26 August 2015

Charter Hall Group Full Year Results

Artist’s Impression 333 George Street, Sydney, NSW

30 June 2015

Agenda

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1 FY15 Results Summary

2 Property Investment
3 Property Funds Management
4 Financial Result
5 Outlook and Guidance
6 Additional Information

David Harrison Joint Managing Director

David Southon Joint Managing Director

Paul Altschwager Chief Financial Officer

CHARTER HALL GROUP | Full Year Results | 30 June 2015

FY15 Results Summary

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CHARTER HALL GROUP | Full Year Results | 30 June 2015

Key Achievements

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FY15 Results Summary[1 ]

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8.7% OEPS growth
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$2.6b in transactions $1.9b of acquisitions $0.7b of divestments

8.5% DPS growth

Australian FUM up 18% to $13.6b

Total Securityholder Return of 11.8%[2 ]

$1.7b gross equity inflows $1.3b net equity inflows

Figures and statistics on this slide are for the 12 months to 30 June 2015.

Source: UBS and S&P/ASX.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Solid Growth

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FY15 Results Summary

Increase in operating earnings per security (OEPS) to 27.5cps, up 8.7%

Statutory profit after tax of $117.9m, up 43.6%
Operating earnings of $98.8m, up 21.7%
Distribution per security of 24.2cps, up 8.5%

Property Investments (PI) operating earnings of $58.3m, up 17.3%

Charter Hall co-invested a further $187m (net) with Property Investments increasing by $224m to $944m (including revaluations of $37m)
Property Investment yield 7.5% and WACR[1] 7.0%

Property Funds Management (PFM) operating earnings of $43.3m, up 25.2%

Secured $1.7b of gross equity flows and $1.3b of net equity flows after investor equity returns
FUM increased by 18% to $13.6b
Property Funds Management EBITDA margin increased from 36.2% to 40.1%
WACR is Weighted Average Cap Rate for the Charter Hall Group’s Property Investment portfolio and is weighted by individual co-investment value as a proportion of total property investments.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Total Securityholder Returns

FY15 Results Summary

Total securityholder return for 1 year to 30 June 2015: 11.8%
Best performance in A-REIT 200 index over 3 years: 32.9% pa[1 ]

Total performance over 3 and 5 years (% pa) to 30 June 2015[1 ]

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35% 32.9%
30%
25%
20.9%
20% 18.4%
14.3%
15%
9.0% 9.1%
10%
5%
0%
3 years p.a. 5 years p.a.
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Charter Hall Group securityholders S&P/ASX 200 Property Accumulation Index Mercer/IPD Wholesale Pooled Property Funds Index

Source: IPD, UBS and S&P/ASX.
Operating earnings per security prior to FY14 restated to include security-based benefits expense.

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Operating earnings per security growth[2 ]

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30 27.5
25.3
25 22.9
20.7
19.2
20
15.8
15
10
5
0
FY10 FY11 FY12 FY13 FY14 FY15
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Distribution per security growth

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30
24.2
25 22.3
20.2
20 18.2
16.5
15 12.6
10
5
0
FY10 FY11 FY12 FY13 FY14 FY15
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Compound annual growth rate (CAGR) from 30 June 2010 to 30 June 2015.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Consistent Delivery on Strategy

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FY15 Results Summary

Access

Deploy

Manage

Invest

Access to multiple equity sources

Creating value Property funds Investing through attractive management, asset alongside our investment management, leasing capital partners opportunities and development services

$1.7b gross equity raised

$2.6b transactions $1.9b acquisitions $0.7b divestments

$13.6b FUM 276 properties 2,289 tenants 572 leasing deals

$944m of property investments with 7.0% WACR[1] and 8.5% discount rate

$4.3b gross equity raised

$8.3b transactions $5.8b acquisitions $2.5b divestments

$5.2b FUM growth 92 additional properties

WALE[2] increased by 3.1yrs to 9.1yrs

WACR is Weighted Average Cap Rate for the Charter Hall Group’s Property Investment portfolio and is weighted by individual co-investment value as a proportion of total property investments.

WALE is the Weighted Average Lease Expiry for the Property Investment portfolio which is measured by all tenants’ remaining leases in years, weighted by each tenant’s gross income as a proportion of the total gross income for the portfolio.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Operating Earnings Composition

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FY15 Results Summary

Operating earnings of $98.8m[1] , up 21.7% pcp from $81.2m

59% of operating earnings from Property Investment
Property Investment earnings growth of 17.3%
Property Funds Management earnings growth of 25.2%

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65 FY14
$58.3
60 FY15
55
$49.7
50
$43.3
45
40
$34.6
35
30
25
20
15
10
Property Investment Property Funds
Management
Operating Earnings ($m)
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Operating Earnings of $98.8m includes security-based benefits expense of $2.8m (FY14: $3.1m) which is not allocated to any of the segments described above. Graphs are shown based on Operating Earnings pre the security-based benefits expense.

Property Investment Earnings Drivers

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1,000 9%
8%
800 7%
6%
600
5%
4%
400
3%
200 2%
1%
0 0%
Jun-10 Jun-11 Jun-12 Jun-13 Jun-14 Jun-15
Property Investment Co-investment Yield
(LHS) (RHS)
PI Portfolio ($m)
Co-investment Yield (%)
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Property Funds Management Earnings Drivers

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14 45%
40%
12
35%
10
30%
8 25%
6 20%
15%
4
10%
2
5%
0 0%
Jun-10 Jun-11 Jun-12 Jun-13 Jun-14 Jun-15
Australian FUM (LHS) PFM EBITDA margin (RHS)
Australian FUM ($b)
PFM EBITDA Margin (%)
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CHARTER HALL GROUP | Full Year Results | 30 June 2015

Property Investment

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CHARTER HALL GROUP | Full Year Results | 30 June 2015

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Growth in Property Investment Earnings of 17.3%

Property Investment

Charter Hall Group’s balance sheet investments increased by $224m to $944m
Portfolio WALE[1] increased by 1.5 years to 9.1 years during FY15, driven by investment into LWIP
WACR reduced 57bps to 7.00%[2]

% of CHC property investment portfolio by fund type

% of CHC property investment portfolio by fund[3]

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Retail Equity
$66m Listed Fund
7% $147m
16%
$944m
Wholesale
Equity
$731m
77%
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Direct /
Other
7%
CHOT
LWIP 17%
16%
CPOF
$944m 18%
CLP
10%
RP2
2%
CPIF
RP6
8%
LWHP 2%
CQR
4%
16%
Office Retail Industrial Hospitality
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Portfolio WALE calculated as the sum of each fund’s WALE by gross income multiplied by its % of the Property Portfolio. 2. Refer to slide 30 for NTA and Cap Rate bridge.
Refer to slide 53 for Fund key.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Enhanced Portfolio Quality

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Property Investment

Charter Hall Group continues to focus on reweighting its Property Investments towards a more diversified portfolio

Property Investment portfolio has increased its exposure to long WALE industrial, hospitality and retail assets
Diversification of the portfolio has been enhanced during FY15 with investments in LWIP and RP6

Property Investments by Sector 30 June 2014

Property Investments by Sector 30 June 2015

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Hospitality
13%
Industrial
25%
Office Office
42% 39%
Industrial
$720m 21% $944m
Retail
33% Retail
27%
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LWIP is allocated between the Hospitality sector (82% Hotels) and Retail sector (18% Dan Murphy’s and BWS outlets).

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Portfolio WALE and Lease Expiry

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Property Investment

CHC’s Portfolio composition and upcoming lease expiries are actively managed

Portfolio WALE increased by 1.5 years to 9.1 years during FY15
50% of leases expiring between June 2024 and June 2040

Core Investments WALE and Portfolio WALE[1 ]

Lease Expiry Profile by Sector

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LWIP2 19.8
Retail Office Industrial Hospitality
LWIP 19.3 60%
DIF3 13.2
CLP 12.2 50%
LWHP 9.3
DOF 7.8 40%
CPIF 7.2
CQR 7.0 30%
CPOF 6.4
CHOT 5.5 20%
PFA 5.2
RP6 4.7 10%
RP2 3.1
CHC 9.1
0%
1. Portfolio WALE calculated as the sum of each fund’s WALE by gross income multiplied by its
Vacant FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24-40
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Portfolio WALE calculated as the sum of each fund’s WALE by gross income multiplied by its % of the Property Portfolio.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Top Tenants by Gross Income

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Property Investment

Property Investment portfolio has high occupancy at 97.7%
Strong focus on quality of tenant covenants

Occupancy by Gross Income[1]

Top 10 Tenants by Gross Income[2 ]

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DIF3 100.0% Woolworths 22.4%
LWIP2 100.0%
Government 6.8%
LWIP 100.0%
LWHP 99.2% Wesfarmers 6.8%
CPIF 98.3%
Telstra 3.9%
CQR 98.4%
CLP 98.3% Westpac 1.7%
PFA 98.3% Metcash 1.4%
RP6 98.5%
Inghams 1.3%
RP2 96.9%
DOF 97.2% Commonwealth Bank 1.2%
CHOT 96.6%
3 Macquarie Group 1.1%
CPOF 95.6%
CHC 97.7% Wilson 0.9%
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Portfolio occupancy calculated as the sum of each fund’s occupancy by gross income multiplied by its % of the Property portfolio.
Top tenant classifications refer to companies and their subsidiaries or related companies. Government tenant classification refers to all Government and Government related tenants 3. CPOF occupancy excludes recent development at 570 Bourke St, Melbourne.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Property Investment Portfolio Net Returns

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Property Investment

CHC current investment portfolio net return over five years to 30 June 2015 is 16.7% per annum, outperforming the IPD/Mercer Wholesale Unlisted Property Funds Index (NAV post fees) which returned 9.2% over the same period
The net return of each core Property Investment has outperformed the sector specific Mercer/IPD index over the same period, particularly in the Industrial and Long WALE sectors

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26.8%
21.4%
20.1%
17.4%
16.5% 16.7%
14.2%
11.6% 11.5%
10.6%
9.9% 9.4% 9.8% 9.4% 8.7% 8.7% 8.8% 9.2%
CPOF 1 CPIF 1 CHOT 2 CQR 2 RP2 LWHP CLP LWIP CHC3
2010 to 2015 2010 to 2015 2010 to 2015 2010 to 2015 2012 to 2015 2012 to 2015 2012 to 2015 2014 to 2015 2010 to 2015
Office Industrial Office Retail Retail Retail Industrial Diversified Diversified
Net Return (% p.a.) Mercer / IPD Benchmark (% p.a.)
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CPOF and CPIF 5 year net return uses Mercer / IPD Wholesale Pooled Property Funds Index benchmark data.
CHOT (formally CQO) and CQR starting value based on security price on ASX.
CHC includes all cash flows from 30 June 2010 for the active portfolio only and excludes realised or non core funds.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Property Funds Management

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CHARTER HALL GROUP | Full Year Results | 30 June 2015

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Well Diversified Funds Management Portfolio

	Portfolio	No. of	No. of	Gross	WALE2	Occupancy	WACR3
	Size ($b)	Properties	Tenants	Income ($m)	(years)	(%)	(%)
FY15	13.6	276	2,289	1,120	7.9	97.8	7.10
FY14	11.5	209	2,289	1,000	7.3	96.8	7.68

Diversification by equity source

Asset type diversification[1]

WALE by sector

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Retail Equity Listed Fund Hospitality 4% 19.3
$1.9b $2.2b
14% 16%
Industrial
20%
9.9
Office
$13.6b $13.6b 50% 7.8
6.5
Retail
Wholesale Equity 26%
$9.5b Office Retail Industrial Hospitality
70%
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LWIP is allocated between the Hospitality sector (82% Hotels) and Retail sector (18% Dan Murphy’s and BWS outlets).
WALE for the Property Funds Management portfolio which is measured by all tenants’ remaining leases in years, weighted by each tenant’s gross income as a proportion of the total gross income 3. WACR for the Property Funds Management portfolio and is weighted by proportion of total property assets.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Office Sector Activity

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Property Funds Management

12 months to 30 June 2015

Office FUM increased 3% to $6.7b
Completed $325m of acquisitions and $545m of divestments
$220m acquisition of the Western Sydney University’s new office campus in Parramatta's CBD, Sydney, with a 15 year WALE (50% CPOF and 50% DOF)
Completed 152 leasing agreements across 251,249sqm increasing portfolio WALE from 6.2 years to 6.5 years. Major leasing deals included:
31,700sqm renewal to Westpac at Kogarah for 20 years (CPOF/DOF);
20,800sqm renewal to WA Government at Cannington (PFA);
13,800sqm renewal to Telstra at 150 Lonsdale Street, Melbourne (CHOT) and
13,000sqm renewal to Macquarie at No.1 Martin Place, Sydney (CHOT)

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Artist impression, WSU Parramatta Campus, NSW
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Sector overview	30 Jun 2015	30 Jun 2014	Change
FUM	$6.7b	$6.6b	$0.1b
No. of properties	48	55	(7)
Gross income	$569m	$586m	(17)
Occupancy	96.9%	95.4%	1.5%
WALE	6.5yrs	6.2yrs	0.3yrs
WACR	7.13%	7.67%	(0.54%)
CHC co-investment	$372m	$301m	$71m

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Retail Sector Activity

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Property Funds Management

12 months to 30 June 2015

Retail FUM increased 20% to $3.5b
Completed $466m of acquisitions and $87m of divestments
Completed 405 leasing deals over 92,771sqm with occupancy remaining strong at 98.6%
Established and expanded LWHP with additional equity commitments of $235m bringing the Partnership’s total committed equity to $418m
Established RP6, with $250m of total equity commitments which is a 20:80 partnership between Charter Hall and an institutional investor
RP6 acquired Pacific Square Shopping Centre Maroubra for $137m
LWIP’s FUM, gross income and CHC co-investment is allocated between the Hospitality sector (82% Hotels) and Retail sector (18% Dan Murphy’s and BWS outlets).

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Brickworks Woolworths Marketplace, Adelaide, SA
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Sector overview FUM	30 Jun 2015 30 Jun 2014 $3.5b $2.9b	30 Jun 2015 30 Jun 2014 $3.5b $2.9b	Change $0.6b
No. of properties	95	96	(1)
Gross income	$297m	$238m	$59m
Occupancy	98.6%	98.5%	0.1%
WALE	7.8yrs	8.0yrs	(0.2yrs)
WACR	6.99%	7.61%	(0.62%)
CHC co-investment	$251m	$238m	$13m

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Industrial Sector Activity

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Property Funds Management

12 months to 30 June 2015

Industrial FUM increased 32% to $2.8b
Completed $539m of acquisitions and $64m of divestments including:
Acquisition of the six asset ($171m) Inghams portfolio with assets allocated to CLP, DIF2 and CPIF with WALEs ranging from 20 years to 25 years
Completed 15 leasing deals totaling 136,271sqm
CPIF, which ranked as Australia’s number 1 wholesale unlisted property fund[1] , completed an equity raising of $396m
CLP continues to grow, with the acquisition of five assets during the year, with FUM at $921m (up from $608m)
Charter Hall Direct launched DIF3 in December 2014 and has since settled three assets with a fourth asset exchanged

136 Horrie Miller Drive, Perth, WA

Sector overview	30 Jun 2015 30 Jun 2014	30 Jun 2015 30 Jun 2014	Change
FUM	$2.8b	$2.1b	$0.7b
No. of properties	76	58	18
Gross income	$219m	$176m	$43m
Occupancy	98.6%	99.4%	(0.8%)
WALE	9.9yrs	9.9yrs	-
WACR	7.43%	7.86%	(0.43%)
CHC co-investment	$197m	$181m	$16m

Source IPD/Mercer Wholesale Pooled Property Funds Index 3 years to 30 June 2015 (multi-asset funds).

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Hospitality Sector Activity

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Property Funds Management

12 months to 30 June 2015

Established the Group’s first investment in the Hospitality sector via a new wholesale partnership, LWIP (Long WALE Investment Partnership) which is a 50:50 partnership between Charter Hall and Hostplus
LWIP acquired a $603m[1] portfolio of 54 high quality hospitality assets, leased to the ALH Group subject to initial lease terms of 20 years plus options with annual CPI rental increases
Established the Group’s second investment in the Hospitality sector via a new wholesale partnership, LWIP2, between Charter Hall and Hostplus
LWIP2 acquired three high quality Queensland assets for $31m, these assets are leased to ALH with a WALE of 19.8 years
The ALH Group is the market leader in the Australian hotel sector and is 75% owned by Woolworths Limited and 25% by Mathieson Group
LWIP’s FUM, gross income and CHC co-investment is allocated between the Hospitality sector (82% Hotels) and Retail sector (18% Dan Murphy’s and BWS outlets).

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Villa Noosa Hotel, Noosaville, QLD
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Sector overview	30 Jun 2015 31 Dec 2014	30 Jun 2015 31 Dec 2014	Change
FUM	$0.6b	$0.5b	$0.1b
No. of properties	57	54	3
Gross income	$36m	$34m	$2m
Occupancy	100%	100%	-
WALE	19.3yrs	19.8yrs	(0.5yrs)
WACR	6.45%	6.66%	(0.21%)
CHC co-investment	$124m	$112m	$12m

CHARTER HALL GROUP | Full Year Results | 30 June 2015

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Australian FUM Growth of 18% Drives Earnings

Property Funds Management

FUM growth driven by activity in the Industrial, Retail and Hospitality sectors

Australian property FUM has increased $2.1b, or 18% during FY15 to $13.6b
13.5% CAGR in domestic FUM since June 2010

Total Group FUM

Australian FUM by equity source

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$13.6b
14.0 14.0 $13.6b
$1.9b
12.0 $11.5b 12.0 $11.5b
$10.7b
$10.3b
$10.2b $9.9b $1.7b $2.2b
10.0 10.0
$8.9b
$9.9b $8.5b $8.4b $1.7b $2.0b
$9.5b
8.0 $8.5b $8.4b 8.0 $7.2b $1.5b $1.5b
$1.8b
$7.8b
6.0 $7.2b 6.0 $1.5b $3.5b $1.6b $6.5b
$3.2b
$5.4b
4.0 4.0
$3.6b
2.0 2.0 $2.5b
0.0 0.0
Jun-10 Jun-11 Jun-12 Jun-13 Jun-14 Jun-15 Jun-10 Jun-11 Jun-12 Jun-13 Jun-14 Jun-15
Australia FUM Offshore FUM Wholesale Listed Retail
FUM b
FUM b
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CAGR from 30 June 2010 to 30 June 2015.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

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Secured Inflows Across the Funds Platform

Property Funds Management

Diversified equity sources
Secured $1.7b in gross equity flows[3] ($1.3b net) during FY15 across all equity sources

	FY13	FY14	FY15
	($m)	($m)	($m)
Wholesale Pooled Funds	147	651	653
Wholesale Partnerships	599	261	598
Listed Funds1	142	260	274
Direct Funds2	288	277	180
Gross equity secured (Australian FUM)	1,176	1,449	1,705
Net equity secured (Australian FUM)	1,003	987	1,297

Listed Funds include equity raised in CHC and CQR placements and DRP.
Funds and syndicates for retail, SMSF and high net worth investors.
Equity flows includes equity received or returned only and excludes undrawn equity commitments.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

PFM EBITDA Growth of 26.2%

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Property Funds Management

PFM EBITDA margin on revenue has increased from 36.2% to 40.1%

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80
$70.4
70 FY14
$60.9 FY15
60
50
$42.5
$38.2
40
30
20
10
0
Investment Management 2 Property Services 3
PFM Revenue ($m)
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$m	FY15	FY14	Change %
Revenue	112.9	99.1	13.9%
Net operating expenses	(67.6)	(63.2)	7.0%
PFM EBITDA1	45.3	35.9	26.2%
EBITDA margin on revenue	40.1%	36.2%	3.9%

PFM EBITDA excludes security-based benefits and depreciation expense.
Investment Management revenue includes fund management fees and transactional / performance fees.
Property Services revenue includes property management, leasing, facilities management, development management and 50% share of CIP.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

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Development Adding to Fund Performance

Property Funds Management

Redevelopment opportunities undertaken to enhance both income yield and total returns for managed funds
In-house development skills are a core competency
Development pipeline includes major office projects WSU Parramatta, Sydney and 333 George Street, Sydney, a variety of shopping centre expansions and industrial sites
In addition to the current projects underway, Industrial land banks owned have the potential to add an additional $0.5b of completion value once pre-leased.

Artist impression of 333 George Street, Sydney, NSW (CPOF)

Development activity (currentprojects underway)	On completion value
Office2	$471m
Industrial3	$147m
Retail	$273m
Total1	$891m

$0.7b included in FUM at 30 June 2015.
Decrease in office development due to 570 Bourke Street, Melbourne and 100 Skyring Terrace, Brisbane reaching practical completion (PC) during the year.
Includes current projects pre-leased and under construction

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Darra, Brisbane, QLD (CLP)
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CHARTER HALL GROUP | Full Year Results | 30 June 2015

Financial Result

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CHARTER HALL GROUP | Full Year Results | 30 June 2015

Profit and Loss by Segment

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Financial Result

21.7% growth in Operating Earnings to $98.8m
PI operating earnings up 17.3% to $58.3m
Co-invested an additional $187m
Property investment income yield 7.5%
PFM earnings increased by 25.2% to $43.3m with strong revenue growth in all areas
OEPS growth of 8.7% to 27.5cps and DPS growth of 8.5% to 24.2cps

$m	FY15	FY14	Change %
Property investment	58.3	49.7	17.3%
Property funds management	43.3	34.6	25.2%
Security-based benefits expense	(2.8)	(3.1)	(9.7%)
Operating earnings	98.8	81.2	21.7%
Property valuations (net)1	37.4	13.2
Amortisation and impairment of intangibles	(9.3)	(8.5)
MTM of derivatives1	(5.6)	(0.9)
Other non-operating items1	(3.4)	(2.9)
Total non-operating items	19.1	0.9
Profit after tax	117.9	82.1	43.6%
OEPS (cps)	27.5	25.3	8.7%
DPS (cps)	24.2	22.3	8.5%
Payout ratio	88%	88%
ROE2(earnings)	11.4%	11.4%	-
ROE3(total return)	14.5%	13.5%	1.0%

Includes the Group's proportionate share of non-operating items of equity accounted investments on a look through basis.
Return on equity (earnings) is calculated as operating earnings divided by opening NTA plus contributed equity during the year.
Return on equity (total return) is calculated as the growth in NTA per security minus private placement impact plus the distribution paid/payable per security divided by the opening NTA per security.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

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Property Investment Earning Growth of 17.3%

Financial Result

Operating earnings from Property Investment of $58.3m, up 17.3%

$13.3m contribution from additional $187m net investments
$1.6m or 3.3% growth in earnings from the comparable Retail and Industrial investments
$2.6m reduction from core Office portfolio reflecting vacancy and assets sales in CHOT[1] and CPOF
$1.8m reduction in investment earnings due to the continued wind down of non-core funds

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$1.6m ($2.6m)
$13.3m
($1.8m)
($1.9m)
$58.3m
$49.7m
FY14 PI earnings Change in invested Comparable Retail/ Comparable Office Wind down of non- Increase in interest FY15 PI earnings
capital Industrial portfolio portfolio core funds and PI expenses
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CHOT was impacted by vacancy at No.1 Martin Place, Sydney which is 100% owned by CHOT. As at 30 June 2015 occupancy at No.1 Martin Place had increased to 95%.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

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Property Funds Management Earnings Up 25.2%

Financial Result

PFM operating earnings of $43.3m,up 25.2%
Investment Management revenue growth of 15.7% driven by:
$5.1m increase in fund management fees attributable to the impact of prior year FUM growth now generating recurring fees
$4.4m increase in transactional revenue
Property Services revenue growth of 10.9% driven by $2.4m increase in leasing fees
Expenses up 7.0%, reflecting impact of FUM growth of 18.0% over the past year and ongoing reinvestment in improved capabilities
PFM EBITDA margin has expanded 3.9% to 40.1%
Revenue to expense growth multiple of 1.9x

$m	FY15	FY14	Change %
Investment management	70.4	60.9	15.7%
Property services Total PFM revenue	42.5 112.9	38.2 99.1	10.9% 13.9%
Net operating expenses	(67.6)	(63.2)	7.0%
PFM EBITDA Depreciation	45.3 (2.0)	35.9 (1.4)	26.2% 42.9%
Income tax	0.0	0.0	-
PFM operating earnings	43.3	34.6	25.2%
PFM EBITDA margin on revenue	40.1%	36.2%	3.9%
PFM EBITDA margin on cost	67.0%	56.8%	10.2%
PFM net expenses / average FUM	54bps	58bps	(4bps)

The PFM platform is expected to be in a tax payable position from FY17

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Balance Sheet Capacity

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Financial Result

Strong balance sheet maintained
Cash position of $152m at 30 June 2015 following equity raise in May 2015
$224m increase in property investments through deployment of equity raise and continued capital recycling
Property Investments represent 84% of net tangible assets
$240m available liquidity[2] at 30 June 2015
Deferred tax asset recognised at 30 June 2015 relating to carry forward tax losses
As at 26[th] August 2015, the Group has deployed $155m of the equity raised in May 2015 (CPOF, DOF, DIF3, RP6, RP2, CLP and LWIP2) to support equity raisings and fund property investments

$m	30 June 2015	30 Jun 2014
Cash	152	50
Property investments Development investments	944 47	720 47
Deferred tax assets	7	8
Other tangible assets	50	73
Intangibles	78	88
Total assets	1,278	986
Borrowings	-	-
Other liabilities	78	69
Total liabilities	78	69
Total equity	1,200	917
NTA per security	$2.76	$2.38
NAV per security	$2.95	$2.64
Balance sheet gearing (net of cash)	0.0%	0.0%
Look-through gearing1	31.4%	31.0%
Available liquidity ($m)2	240	139

Calculated by incorporating Charter Hall’s proportional share of total assets (net of cash) and debt (net of cash) of the funds in which it invests. 2. Available liquidity at 30 June 2015 excludes $25m Tranche B of CHC corporate debt facility expiring August 2015.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

NTA Per Security and Cap Rate Bridge

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Financial Result

NTA per security uplift of 38cps primarily due to capital raise and cap rate compression in existing property investment portfolio
WACR has reduced by 57 basis points:
Existing Property Investments cap rate compression of 44 basis points
LWIP investment reduces the WACR by a further 13 basis points

NTA ($ per security)

Weighted Average Cap Rate[1]

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$0.10 $0.02 ($0.01)
(0.12%)
$0.27 $2.76 7.57% (0.08%) (0.07%)
(0.05%)
(0.12%)
(0.13%)
7.00%
$2.38
Existing 44bps
June 2014 Equity Revaluations Op Earnings Other June 2015 June 2014 CHOT CQR CPOF CLP Other LWIP June 2015
NTA Raising net of NTA WACR Funds WACR
distribution
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WACR is Weighted Average Cap Rate for the Charter Hall Group Property Investments portfolio and is weighted by individual co-investment value as a proportion of total property investments.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Cashflow

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Financial Result

Operating Earnings to Operating Cashflow

FY15 distribution covered 111% by operating cashflow

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$3.5m ($6.3m) $2.8m $2.4m
$101.2m
$98.8m
$92.2m
Operating Change in Earnings vs Security based- Depreciation2 Operating Distribution
earnings working capital distribution benefits expense cashflow paid/payable
received
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DRP participation of 21.9%[1] will retain approximately $10.8m of the 2H15 distribution. Total cash retained for FY15 distributions of $30m

The net movement in Property Investments in FY15 was $224m including:

$154m investment in LWIP and LWIP2
$48m participation in CPOF equity raising
$29m net investment in Direct Funds (investments in DIF3 and DOF partially offset by divestment from CDC)
$58m net divestment in LWHP

Property Investment Movement

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$29m $10m ($58m)
$19m $37m
$48m ($15m)
$154m $944m
$720m
June 2014 LWIPs CPOF RP6 Direct CQR LWHP CHOT Valuation June 2015
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Preliminary participation rate
Includes depreciation expense and amortisation of borrowing costs.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Outlook and Guidance

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CHARTER HALL GROUP | Full Year Results | 30 June 2015

FY16 Outlook and Earnings Guidance

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Outlook and Guidance

The Australian property yield spread to bond yields and the cost of debt remains attractive for domestic and offshore investors
Charter Hall continues to focus on investing in assets with strong tenant covenants and long leases, delivering sustainable income and capital growth for investors

Our guidance is as follows:

Absent unexpected events, our FY16 guidance is 5-7% growth on FY15 operating earnings per security of 27.5cps

BOQ, 100 Skyring Terrace, Brisbane, QLD

The distribution payout ratio is expected to be between 85% and 95% of operating earnings per security

Metcash, Canning Vale, WA

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Additional Information

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CHARTER HALL GROUP | Full Year Results | 30 June 2015

Additional Information

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1	Group & Managed Funds Overview	36
2	Property Investment Portfolio	38
3	Fund Updates	39
4	Financial Performance	45
5	Capital Management and Funding	50
6	Fund Key	53

CHARTER HALL GROUP | Full Year Results | 30 June 2015

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Group Overview

Property Funds Management Platform $13.6b FUM

• Investment management • Transaction services • Capital management

FUM	$13.6b
No. of properties	276
Gross income	$1.1b

Asset management
• Property management
• Development management
• Technical services

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Property Funds Management Platform
$944m co-investments
OFFICE RETAIL [1 ] INDUSTRIAL HOSPITALITY [1 ]
$372m $251m $197m $124m
(39% of portfolio) (27% of portfolio) (21% of portfolio) (13% of portfolio)
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LWIP is allocated between the Hospitality sector (82% Hotels) and Retail sector (18% Dan Murphy’s and BWS outlets).

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Charter Hall Managed Funds

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FUM as at 30 June 2015

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Listed AREIT Wholesale Pooled funds, Partnerships Retail investor funds
$2.1b and Mandates $9.5b $1.9b
($147m ($731m co-invested) ($64m co-invested)
co-invested)
Partnerships
CQR [1 ] Partnerships Pooled DOF PFA
$2.1b $4.7b $4.3b $3.4b $0.7b $0.2b
($147m / 11%) ($39m / 9%) ($0.2m / 0%)
CHOT CLP CPOF
$2.2b $0.9b $2.3b
DIFs/CDC
($164m / 14%) ($96m / 15%) ($169m / 13%) CHIF 8
$0.7b
$57m
($25m / 24%)
RP2 RP6 CPIF
$0.2b $137m $1.1b
($20m / 20%) ($19m / 20%) ($75m / 7%) Workzone VA
$125m $70m
LWHP LWIP
$0.6b $0.6b Mandates
($38m / 12%) ($147m / 50%) $1.4b BW Trust
$76m
BSWF [2 ]
LWIP2
$0.6b
$31m
($3m / 10%)
Other
mandates [3 ]
$0.7b
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Funds being realised $0.1b

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($2m co-invested excluding
developments)
CHUF DPF
$2m $7m
($0.6m/ 24%) ($1m / 20%)
685 CHOF 5
LaTrobe $83m
$11m ($5m / 15%)
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FUM definition includes completion value for development assets.
Brisbane Square Wholesale Fund (BSWF) includes 67% of Bankwest Place and Brisbane Square.
Includes interest in 275 George St (50%) and Adelaide ATO (50%), (which are both co-owned with CPOF); Riverside Centre, 100 Skyring Terrace, RP1 and other assets.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

CHC Property Investment Portfolio

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As at 30 June 2015

	Ownership Stake Charter Hall Investment Charter Hall Investment Income WALE Market Cap Rate Discount Rate Average rental reviews Charter Hall Investment Yield 3
	(%) ($m) ($m) (years) (%) (%) (%) (%)
Listed Fund	147 11.8
Charter Hall Retail REIT (CQR)1	10.7% 147 11.8 7.0 7.2% 8.7% 4.2% 8.7%
Wholesale	731 44.5
Charter Hall Office Trust (CHOT)	14.3% 164 10.8 5.5 7.0% 8.4% 3.9% 6.7%
Core Plus Office Fund (CPOF)	12.8% 169 7.7 6.4 7.0% 8.4% 3.9% 6.6%
Core Logistics Partnership (CLP)	14.8% 96 6.2 12.2 7.2% 8.7% 3.1% 7.1%
Core Plus Industrial Fund (CPIF)	7.2% 75 5.7 7.2 7.6% 9.0% 3.2% 7.9%
Long WALE Hardware Partnership (LWHP)	11.8% 38 3.6 9.3 6.7% 8.7% 2.7% 7.3%
Retail Partnership No. 2 (RP2)	20.0% 20 1.6 3.1 7.0% 8.8% 4.6% 8.4%
Retail Partnership No. 6 (RP6)	20.0% 19 0.2 4.7 6.5% 9.3% 4.1% 6.5%
Long WALE Investment Partnership (LWIP)	50.0% 147 8.7 19.3 6.4% 8.1% 2.5% 8.0%
Long WALE Investment Partnership No. 2 (LWIP2)	10.0% 3 0.0 19.8 6.8% 9.0% 2.5% 3.6%
Retail Investor Funds	64 1.9
Direct Office Fund (DOF)	9.3% 39 1.4 7.8 7.2% 8.5% 3.6% 7.8%
PFA Diversified Property Trust (PFA)	0.1% 0 0.0 5.2 8.9% 9.1% 2.8% 9.9%
Direct Industrial Fund No. 3 (DIF3)	24.3% 25 0.5 13.2 7.5% 9.2% 2.9% 7.4%
Other	2 1.0
Diversified Property Fund (DPF)	19.6% 1 0.1 4.1 9.5% 10.2% 2.6% 7.6%
Charter Hall Umbrella Fund (CHUF)	24.2% 1 - 4.1 9.5% 10.2% 2.6% 7.6%
Investments disposed/Other4	- - 0.9 - - - - -
Total2	944 59.2 9.1 7.0% 8.5% 3.6% 7.5%

CQR WALE reported based on total WALE. CQR minimum rent reviews is contracted weighted average rent increases of specialty tenants.
Weighted average property statistics based on the funds where CHC has an investment as at 30 June 2015.
Yield = Operating earnings divided by starting investment value (MTM) at start of the year adjusted for investments / divestments. Excludes MTM movements in NTA during the year.
Comprises Charter Hall Direct Industrial Fund (DIF), Charter Hall Direct Industrial Fund No. 2 (DIF2), Charter Hall Direct CDC Trust (CDC) and Retail Partnership No. 4 Trust (RP4).

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Core Plus Office Fund (CPOF)

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Property Investment Portfolio

	Portfolio characteristics	Key metrics
	Grosspropertyassets1 Total debt(look through) Gearing (look-through) Number of assets Occupancy2 Weighted average lease expiry2 CBD assets	$2.3b $0.8b 36.1% 17 95.6% 6.4years 94%
	Agrade assets	95%
	Weighted average caprate	7.0%
	Weighted average rent review(next 12 months)	3.9%
	Charter Hall co-investment	$169m / 12.8%

Key events during FY15

CPOF acquired a 50% interest of 169 Macquarie Street, Parramatta, fully leased to the Western Sydney University (WSU) for 15 years
The Bank of Queensland relocated into 100 Skyring Terrace in August 2014 approximately 3 months ahead of programme
Assets currently under construction include 333 George Street, Sydney. 570 Bourke Street, Melbourne recently reached practical completion
The Fund settled on the sale of a non-core asset at 51 Pirie Street, Adelaide

Geographic allocation (by GAV)

Debt expiry profile (by facility limit)

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$600 $550m
$489m
$500
$400
$300
$200 $150m
$100
$38m
$0
FY16 FY17 FY18 FY19 FY20+
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VIC
20%
NSW
28%
WA SA
19% 6%
QLD
27%
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Represents 30 June 2015 book values including the completion value of WSU Parramatta (formally UWS).
Occupancy and WALE based on the core portfolio and excludes the impact of the current development 333 George Street, Sydney and 570 Bourke Street, Melbourne.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Charter Hall Office Trust (CHOT)

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Property Investment Portfolio

Key events during FY15

Total of 89,089sqm leases executed and terms agreed on a further 29,369sqm – representing 32% of the portfolio
Active portfolio capital management to take advantage of market cycle, divestment of 59 Goulburn Street, Sydney; Charter Grove, St Leonards and Moonee Ponds, Victoria all achieving a premium to book value
Debt facility re-pricing producing a 55bps reduction in average margin and increased weighted debt maturity from 2.4 to 3.9 years

	Portfolio characteristics	Key metrics
	Grosspropertyassets Total debt Gearing (balance sheet)	$2.2b $1.0b 47.5%
	Number of assets	15
	Occupancy	96.6%
	Weighted average lease expiry	5.5years
	CBD assets	85%
	Primegrade assets	93%
	Weighted average caprate	7.0%
	Weighted average rent review(next 12 months)	3.9%
	Charter Hall co-investment	$164m / 14.3%

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Geographic allocation
WA ACT
(by GAV) 3% 1%
QLD
10%
VIC
26%
NSW
60%
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Debt expiry profile (by facility limit)

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450
$400m $400m $400m
400
350
300
250
200
150
100
50
0
FY16 FY17 FY18 FY19 FY20+
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CHARTER HALL GROUP | Full Year Results | 30 June 2015

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Long WALE Investment Portfolio 1 (LWIP1)

Property Investment Portfolio

Key events during FY15

$640m portfolio of 54 ALH leased hotels including 18 Dan Murphy’s
Portfolio WALE of 19.3 years at June 2015 with CPI annual rental increases
30 June 2015 weighted average cap rate of 6.4%
Interest rate hedges in place for up to 5 years at an average base rate of 3.12%

	Portfolio characteristics	Key metrics
	Gross property assets1 Total debt Gearing (balance sheet)2 Number of assets	$0.6b $0.3b 52.1% 54
	Occupancy	100%
	Weighted average lease expiry	19.3 years
	Weighted average cap rate	6.4%
	Weighted average rent review (next 12 months)	CPI
	Charter Hall co-investment	$147m / 50%

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Geographic allocation
(by GAV) TAS SA NSW
7% 3%
3%
WA
11%
VIC
39%
QLD
37%
1. June 2015 Independent valuation
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Calculated as follows: Debt (net of cash) : Total assets (net of cash)

Debt expiry profile (by facility limit)

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180 $170m $170m
160
140
120
100
80
60
40
20
0
FY16 FY17 FY18 FY19 FY20+
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CHARTER HALL GROUP | Full Year Results | 30 June 2015

Charter Hall Retail REIT (CQR)

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Property Investment Portfolio

Key events during FY15

Acquired or contracted four properties for $192m at average initial yield of 7.2%
Offshore disposals complete following the sale of German and New Zealand assets
Debt restructure completed with key highlights being:
Achieved Moody’s rating of Baa1
USPP issued for 12 year duration increasing weighted average debt maturity to 5.8 years

	Portfolio characteristics	Key metrics
	Grosspropertyassets Total look-through debt(net of cash) Gearing (look-through)	$2.2b $0.7b 33.6%
	Total number of assets	73
	Occupancy (weighted on GLA)	98.4%
	Anchor WALE	10.7years
	Weighted average caprate	7.2%
	SamepropertyNOIgrowth Weighted averaged rent review1 (next 12 months) Charter Hall co-investment	2.4% 4.2% $147m / 10.7%

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Geographic allocation
(by GAV) SA
6%
VIC
12%
NSW
39%
WA
16%
QLD ACT
1. For specialty stores only. 22% TAS 4%
2. Post USPP issuance. 1%
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Debt expiry profile (by facility limit) [2 ]
$600
$537m
$500
$400
$300 $268m
$200
$150m
$100
$0
FY16 FY17 FY18 FY19 FY20+
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CHARTER HALL GROUP | Full Year Results | 30 June 2015

Core Logistics Partnership (CLP)

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Property Investment Portfolio

Key events during FY15

Acquired five assets during FY15
Portfolio gross assets of $0.9b including current pre-leased forward funded developments underway

	Portfolio characteristics	Key metrics
	Gross property assets	$0.9b
	Total debt	$0.2b
	Gearing (balance sheet)	26.1%
	Number of assets	17
	Occupancy	98.3%
	Weighted average lease expiry	12.2 years
	Weighted average cap rate	7.2%
	Weighted average rent review (next 12 months)	3.1%
	Charter Hall co-investment	$96m / 14.8%

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Geographic allocation
SA
(by GAV) TAS NSW
6%
5% 11%
WA
12%
QLD
18%
VIC
48%
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Debt expiry profile (by facility limit)

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$350 $325m
$300
$250
$200
$150
$100
$50
$0
FY16 FY17 FY18 FY19 FY20+
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CHARTER HALL GROUP | Full Year Results | 30 June 2015

Core Plus Industrial Fund (CPIF)

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Property Investment Portfolio

Key events during FY15

CPIF highest ranked unlisted wholesale property fund[1] (all sectors) over the 3 years to 30 June 2015 according to Mercer / IPD Wholesale Pooled Property Funds Index benchmark data
Over FY15 the Fund reached $1b in gross asset value and is now diversified across 42 assets with 98.3% occupancy and a 7.2 year WALE
CPIF controls a 51ha land bank spread across multiple sites with capacity to deliver up to 250,000sqm or $350m of investment product

	Portfolio characteristics	Key metrics
	Gross property assets	$1.1b
	Total debt	$0.1b
	Gearing (look through)	5.0%
	Number of assets	42
	Occupancy	98.3%
	Weighted average lease expiry	7.2 years
	Weighted average cap rate	7.6%
	Weighted average rent review (next 12 months)	3.2%
	Charter Hall co-investment	$75m / 7.2%

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Geographic allocation
(by GAV) TAS SA
NT 4% 3%
2% NSW
30%
WA
23%
VIC
QLD 12%
26%
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Debt expiry profile (by facility limit)

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$350 $325m
$300
$250
$200
$150
$100
$50 $24m
$0
FY16 FY17 FY18 FY19 FY20+
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Source: Mercer / IPD Wholesale Pooled Property Funds Index benchmark data – multi asset funds

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Update on Deployment of Equity Raising

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Financial Performance

A $225m private placement was undertaken in May 2015 to:
Enable Charter Hall to fund identified equity investments alongside its capital partners; and
Provide capacity for future co-investment as growth opportunities are identified alongside new and existing partners
At 26 August 2015, $155m has been deployed into the following funds and partnerships:

				Indicative
Sector	Fund/s	Investing alongside our capitalpartners	Invested by 26 August 2015	timing post 26 August 2015
Industrial	Core Logistics Partnership (CLP)	Top-up of original investment commitment	$6m	Aug - Oct 15
Office	Core Plus Office Fund (CPOF)	Participate in capital raising (pro-rata)	$48m	n/a
Retail	Retail Partnership No. 6 (RP6) Retail Partnership No. 2 (RP2)	Co-investment in wholesale partnerships	$48m	Through FY16
Industrial / Office	Direct funds (DIF3 / DOF)	Support equity raising and facilitate property acquisitions	$50m	n/a
Hospitality	Long WALE Investment Partnership No. 2 (LWIP2)	Co-investment in wholesale partnership	$3m	Through FY16

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Key Financial Metrics

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Financial Performance

Group	FY15	FY14	Change
Statutory profit after tax	$117.9m	$82.1m	43.6%
Operating earnings	$98.8m	$81.2m	21.7%
Operating earnings per security (OEPS)	27.5cps	25.3cps	8.7%
Distribution per security (DPS)	24.2cps	22.3cps	8.5%
Return on Equity1(earnings)	11.4%	11.4%	-
Return on Equity2(total return)	14.5%	13.5%	1.0%
Balance Sheet	At 30 Jun 2015	At 30 Jun 2014	Change
Funds under management – Australia	$13.6b	$11.5b	18.3%
Total Group assets	$1,278m	$986m	29.6%
NAV per security	$2.95	$2.64	11.7%
NTA per security	$2.76	$2.38	16.0%
Balance sheet gearing3	0.0%	0.0%	-
Look through gearing	31.4%	31.0%	0.4%

Return on equity (earnings) is calculated as operating earnings divided by opening NTA plus contributed equity during the year.

Return on equity (total return) is calculated as the growth in NTA per security minus private placement impact plus the distribution paid/payable per security divided by the opening NTA per security 3. Debt net of cash / Gross assets less cash.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Detailed Operating Earnings

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Financial Performance

$m	FY15	FY14	Change	Change %
Property Investment
Property funds investment income	59.2	48.7	10.5	21.6%
Net interest income / (expense)	0.1	1.2	(1.1)	(89.3%)
Operating costs	(1.0)	(0.2)	(0.8)	398.1%
Property Investment	58.3	49.7	8.6	17.3%
Property Funds Management
Funds management income	112.9	99.1	13.8	13.9%
Net operating expenses	(67.6)	(63.2)	(4.4)	7.0%
Depreciation	(2.0)	(1.4)	(0.6)	46.8%
Property Funds Management	43.3	34.6	8.7	25.2%
Security-based benefits expense	(2.8)	(3.1)	0.3	(9.7%)
Total operating earnings	98.8	81.2	17.6	21.7%

CHARTER HALL GROUP | Full Year Results | 30 June 2015

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Property Funds Management Operating Earnings

Financial Performance

$m	FY15	FY14	Change	Change %
Revenue
Fund management fees	49.9	44.7	5.1	11.5%
Transaction and performance fees	20.6	16.1	4.4	27.4%
Investment management	70.4	60.9	9.6	15.7%
Property management fees	15.0	14.3	0.6	4.3%
Development management fees (Inc. CIP)	10.6	10.7	(0.1)	(1.2%)
Leasing fees	12.9	10.5	2.4	22.7%
Facilities and project management fees	4.0	2.7	1.3	49.0%
Property services	42.5	38.3	4.2	10.9%
Total funds management revenue	112.9	99.1	13.8	13.9%
Net employee costs	(54.9)	(49.9)	(5.1)	10.2%
Non-employee costs	(12.7)	(13.4)	0.7	(5.0%)
Net operating expenses	(67.6)	(63.2)	(4.4)	7.0%
Depreciation	(2.0)	(1.4)	(0.6)	46.8%
Operating earnings: Property Funds Management1	43.3	34.6	8.7	25.2%

Excludes security-based benefits expense.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

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Reconciliation of Operating Earnings to Statutory Profit

Financial Performance

$m	FY15	FY14
Operating earnings	98.8	81.2
Net fair value loss on financial derivatives1	(5.6)	(0.9)
Net fair value movements of investments and property1	37.4	13.2
Amortisation and impairment of intangibles	(9.3)	(8.5)
Transfer from reserves of cumulative FX losses on disposal of foreign investments1	(0.7)	(0.5)
Other1	(2.7)	(2.4)
Statutory profit after tax attributable to stapled securityholders	117.9	82.1

Includes the Group's proportionate share of non-operating items of equity accounted investments on a look through basis.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

PFM Platform Debt Management

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Capital Management and Funding

Key debt metrics

Substantial funding capacity available across the funds platform
$6.3b of debt facilities across 26 funds and the Group
$1.7b available undrawn debt plus $0.3b of cash
$1.5b of new debt facilities and $4.2b of refinanced debt in FY15
Look through weighted average debt maturity¹ of 3.2 years, down from 3.6 years

Key debt metrics
Managed funds platform	Jun 15	Jun 14
Group facility limit ($m)	6,336	5,485
Group undrawn debt ($m)	1,667	1,325
Total group cash ($m)	262	195
Look-through gearing (%)	31.4%	31.0%
Look-through weighted average debt maturity (years)1	3.2	3.6
Look-through weighted average cost of debt2	4.88%	5.10%
Look-through interest rate hedging (%)	79%	66%

WACD² is to 4.88% down from 5.10%

Look-through Debt Facility by Sector[1,3 ]

Increased interest rate hedging to 79%, up from 66% across the funds platform

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41.6%
3,500
Undrawn
3,000
Drawn
2,500
2,000
38.4%
1,500
24.1%
1,000
52.1%
500
31.4%
0
Corporate Office Retail Industrial Hospitality
Debt Facility ($m)
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Debt duration is based on facility limits.
Passing cost of debt is on a look through basis and includes floating rate, hedge rate, margins, line fee but excludes undrawn line fees and amortised borrowing costs.
% in columns refers to look-through gearing measured as look-through liabilities to look-through assets.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Debt Maturity Profile

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Capital Management and Funding

Weighted average maturity at 30 June 2015 is 3.5 years
Look through weighted average debt maturity at 30 June 2015 is 3.2 years

Total group

CHC look-through

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2,000 300
271
1,746
1,800
250
1,600
1,400 1,289 1,275 200 190
1,200 1,115
147 147
1,000 150
818
800 110
100
600
400
50 35
200
103
- -
FY16 FY17 FY18 FY19 FY20 FY21+ FY16 FY17 FY18 FY19 FY20 FY21+
Corporate Office Retail Industrial Hospitality Corporate Office Retail Industrial Hospitality
Debt Facilities ($m)
Debt Facilities ($m)
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CHARTER HALL GROUP | Full Year Results | 30 June 2015

CHC Look Through Hedge Maturity Profile

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Capital Management and Funding

The hedge portfolio has a duration of 3.3 years
The passing weighted average hedge rate is 3.2%
The passing weighted average cost of debt is 4.88%

CHC look-through hedge maturity profile

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700 3.80%
600
3.60%
79%
500
75% 3.40%
69%
62%
400
3.20%
300
36% 3.00%
200
15% 2.80%
100
- 2.60%
FY15 FY16 FY17 FY18 FY19 FY20
Hedge Profile¹ % Hedged Drawn debt Hedge rate³
Hedge Notional ($M)
Weighted Average Hedge Rate (%)
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Interest rate hedging as at 30 June 2015 on a look through basis.
Current Drawn Debt as at 30 June 2015 and is projected on a straight line basis for illustrative purposes only.
Hedge Rate is the look through weighted average rate as at 30 June 2015.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Fund Key

Listed entities

CHC	Charter Hall Group
CQR	Charter Hall Retail REIT

Wholesale (Pooled and Partnerships)	Wholesale (Pooled and Partnerships)
BSWF	Brisbane Square Wholesale Fund
CHOT (Partnership)	Charter Hall Office Trust
CLP (Partnership)	Core Logistics Partnership
CPIF (Pooled)	Core Plus Industrial Fund
CPOF (Pooled)	Core Plus Office Fund
LWHP	Long WALE Hardware Partnership
LWIP	Long WALE Investment Partnership
LWIP2	Long WALE Investment Partnership No. 2
RP1	Retail Partnership No.1
RP2	Retail Partnership No.2
RP6	Retail Partnership No.6

Funds being realised
CHOF5	Charter Hall Opportunity Fund 5
CHUF	Charter Hall Umbrella Fund
DPF	Diversified Property Fund

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Retail investor funds

BW Trust	BW Trust (Direct syndicate)
CDC	Charter Hall Direct CDC Trust
CHIF8	144 Stirling Street Trust
DIF, DIF2, DIF3	Direct Industrial Fund series
DOF	Direct Office Fund (Formerly Charter Hall Direct Property Fund)
PFA	PFA Diversified Fund
VA	Charter Hall Direct VA Trust

Other

CAGR	Compound Annual Growth Rate
Cap Rate	Capitalisation Rate
FUM	Funds Under Management
NTA	Net Tangible Assets
OEPS	Operating Earnings per Security
PFM	Property Funds Management
PI	Property Investments
WACR	Weighted Average Cap Rate
WALE	Weighted Average Lease Expiry

CHARTER HALL GROUP | Full Year Results | 30 June 2015

About Charter Hall Group

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Charter Hall Group (ASX:CHC) is one of Australia’s leading fully integrated property groups, with over 24 years’ experience managing high quality property on behalf of institutional, wholesale and retail clients. As at 30 June 2015 Charter Hall had $13.6 billion of funds under management across the office, retail and industrial sectors. The Group has offices in Sydney, Melbourne, Brisbane, Adelaide and Perth.

The Group’s success is underpinned by a highly skilled and motivated team with diverse expertise across property sectors and risk-return profiles. Sustainability is a key element of its business approach and by ensuring its actions are commercially sound and make a difference to its people, customers and the environment, Charter Hall can make a positive impact for its investors, the community and the Group.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Contact Us

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David Harrison Joint Managing Director

Charter Hall Group

T: +61 2 8651 9142 [email protected]

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Paul Altschwager Chief Financial Officer

Charter Hall Group

T: +61 2 8651 9242 [email protected]

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David Southon Joint Managing Director

Charter Hall Group

T: +61 2 8651 9143 [email protected]

Nick Kelly Head of Investor Relations Charter Hall Group

T: +61 2 8651 9235 [email protected]

DISCLAIMER

This presentation has been prepared by Charter Hall Group (being Charter Hall Limited (ABN 57 113 531 150) and Charter Hall Funds Management Limited (ABN 31 082 991 786) (AFSL 262861) as the responsible entity for Charter Hall Property Trust (ARSN 113 339 147)) (the “Group”). It is a presentation of general background information about the Group’s activities as at 30 June 2015 unless otherwise stated. It is a summary and does not purport to be complete. It is to be read in conjunction with the Charter Hall Financial Report filed with the Australian Securities Exchange on 26 August 2015. It is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any particular investor. A reader should, before making any decisions in relation to their investment or potential investment in the Charter Hall Group, seek their own professional advice. This presentation is not an offer or invitation for

subscription or purchase of securities or other financial products.

Indications of, and guidance on, future earnings and financial position and performance are “forwardlooking statements”. Due care and attention has been used in the preparation of forward looking statements. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of the Group, that may cause actual results to differ materially from those expressed or implied in such statements. There can be no assurance that actual outcomes will not differ materially from these statements. All information here in is current as at 30 June 2015 unless otherwise stated, and all references to dollars ($) or A$ are Australian Dollars unless otherwise stated.

CHARTER HALL GROUP | Full Year Results | 30 June 2015

Sydney Head Office Level 20, No.1 Martin Place, Sydney, NSW, 2000 T: +61 2 8651 9000

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AI assistant

CHARTER HALL GROUP — Annual Report 2015

64645_rns_2015-08-25_dafd8758-8e71-4ea5-9bdc-41ebb5aaa01c.pdf