CHARTER HALL GROUP — Capital/Financing Update 2007

Sep 26, 2007

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CHARTER HALL LAUNCHES INNOVATIVE NEW RETAIL OFFERING WITH WHOLESALE REWARDS

Thursday, 27 September 2007

Charter Hall Group, one of Australia’s leading property fund managers has launched a new unlisted investment opportunity called the Charter Hall Umbrella Fund (CHUF or the Fund) ARSN 127 457 738.

CHUF provides investors with an opportunity to gain access to strong returns from a suite of Charter Hall property funds initially invested across a diversified portfolio of over 40 commercial properties within the office, industrial and retail markets. CHUF will allow retail investors to gain access to the performance of Charter Hall’s wholesale unlisted property funds.

Key features of CHUF include:

• An opportunity for investors to invest across Charter Hall’s suite of unlisted property funds with a 70 percent target to unlisted property, with the balance of a 30 percent allocation managed by UBS Global Asset Management (Australia) in a high yield LPT mandate.

• Quarterly distributions are forecast to be tax deferred to 100 percent for FY08 and FY09.

• A limited liquidity facility provided by Charter Hall giving investors the opportunity to apply to sell units to Charter Hall subject to certain conditions.

The launch of the Charter Hall Umbrella Fund comes on the back of the Group’s strong FY07 annual results, which has seen a solid expansion of its funds management business and achieved 108 percent growth in assets under management from $1.3 billion to $2.8 billion.

David Harrison, Charter Hall’s Joint Managing Director said: “CHUF offers retail investors a geographically and sectorally diversified property portfolio across all of Charter Hall’s unlisted property funds. The underlying funds into which CHUF will invest have a weighted average lease expiry in excess of 10 years, exposure to over 40 quality assets across Australia and New Zealand in office, industrial and retail markets. Importantly, Charter Hall takes a significant co-investment stake in all of its funds, providing a transparent alignment of interest with investors”.

Charter Hall Limited

ABN 57 113 531 150 Charter Hall Funds Management Limited ABN 31 082 991 786 Sydney Brisbane Perth Auckland

Level 11 | 333 George Street | SYDNEY | NSW 2000 GPO Box 2704 | SYDNEY NSW 2001 Ph: +61 2 8908 4000 | Fax: +61 2 8908 4040 www.charterhall.com.au

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nabCapital is the sole arranger and underwriter for the offer and is also providing funding for instalment options available under the offer, which allows investors to defer payment of 40 percent of their investment capital for 3 years.

Bill Halmarick, Director in nabCapital Structured Property Finance said: “CHUF provides retail investors with an opportunity to access wholesale property fund returns, previously only available to wholesale and institutional investors and to attain exposure to the Charter Hall management team, which has established a reputation for innovation, risk management and solid investor returns in property funds management. CHUF fulfils nabCapital’s mandate to source and provide differentiated investment opportunities for retail investors, consistent with previous property products arranged by nabCapital”.

The initial equity raising for CHUF will be $100 million and nabCapital has underwritten 100 percent of the offer. In addition, Charter Hall will take up to $50 million as a cornerstone investor.

David Harrison further stated “CHUF will provide Charter Hall with increased penetration in the unlisted retail market further diversifying its sources of equity. We expect CHUF to further accelerate the Group’s existing and future fund initiatives”.

The responsible entity of the Fund is Charter Hall Funds Management Limited (ABN 31 082 991 786) (AFSL 262861). CHFML as responsible entity for the Fund has issued a product disclosure statement dated 24 September 2007 (PDS) which sets out the offer to apply for units in the Fund (including through the instalment options). If you are considering an investment in the Fund you should read the PDS in its entirety and consider the information set out in the PDS in relation to the offer. The PDS is now available and you can request a copy of the PDS, free of charge, by calling nabCapital on 1800 652 669.

No investment advice

The information contained in this release is not financial product advice. This release has been prepared without reference to your investment objectives, financial situation and particular needs. It is therefore important that you read the PDS in its entirety before making a decision whether to invest in the Fund and taking into consideration your investment objectives, financial situation and particular needs. If you are in any doubt, you should consult your broker or financial or other professional adviser.

ENDS

Charter Hall Limited

ABN 57 113 531 150

Level 11 | 333 George Street | SYDNEY NSW 2000

GPO Box 2704 | SYDNEY NSW 2001 Ph: +61 2 8908 4000 | Fax: +61 2 8908 4040 www.charterhall.com.au

Charter Hall Funds Management Limited ABN 31 082 991 786 Sydney Brisbane Perth Auckland

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For more information contact:

David Harrison Bill Halmarick Joint Managing Director Director, Structured Property Finance Charter Hall Limited nabCapital +61 2 8908 4033 +61 2 9237 1996 davidh@chaterhall.com.au Bill.R.Halmarick@nab.com.au

About the Charter Hall Group:

Charter Hall Group is a property funds management and development company, based in Sydney with offices in Brisbane, Perth and Auckland. Established in 1991 and listed on the ASX in 2005 as a stapled security under the code CHC, Charter Hall Group combines Charter Hall Limited with Charter Hall Property Trust. The Group currently has funds under management in excess of $2.8 billion and a market cap of over $1.2 billion. The Charter Hall Group has achieved a solid track record across its activities demonstrating a 16 year history of managing wholesale capital, making it one of Australia’s leading property fund managers. Charter Hall’s success has been underpinned by a highly skilled, incentivised and motivated management team with diverse expertise across property sectors and risk-return profiles.

Charter Hall Limited

Level 11 | 333 George Street | SYDNEY NSW 2000 GPO Box 2704 | SYDNEY NSW 2001 Ph: +61 2 8908 4000 | Fax: +61 2 8908 4040 www.charterhall.com.au

ABN 57 113 531 150 Charter Hall Funds Management Limited ABN 31 082 991 786 Sydney Brisbane Perth Auckland