CHARTER HALL GROUP — Capital/Financing Update 2010

Jun 24, 2010

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ASX/MEDIA ANNOUNCEMENT

CHARTER HALL DIRECT - $49 MILLION EQUITY RAISING AND NEW 6,629 SQUARE METRE LEASE AT NO.1 MARTIN PLACE, SYDNEY

Friday, 25 June 2010

The Charter Hall Group (ASX: CHC) announces two significant milestones for its largest single asset property fund, Macquarie Martin Place Trust (“the Trust”) which owns a 50% interest in No.1 Martin Place, Sydney.

These key achievements are:

• the successful oversubscription of the $49 million equity raising for the Trust; and,

• leasing a further 6,629 square metres to the building’s anchor tenant Macquarie Group for a 6 year term expiring 31 December 2016, bringing Macquarie’s occupancy to 90% of the building.

Charter Hall Direct Property, the division of Charter Hall focused on servicing retail investors and their financial advisers and which manages over $1.3 billion of Australian real estate in unlisted funds, has successfully raised $49 million for the equity raising initiated by the Macquarie Martin Place Trust last year. The raising, which is already oversubscribed, will close on 30 June 2010. The Trust provides existing and new investors the opportunity to own an interest in one of Australia’s prime business addresses anchored by one of the Australia’s leading financial services organisations.

No.1 Martin Place is jointly owned by the Trust and the Charter Hall Office REIT (ASX: CQO) which owns approximately $4 billion of quality office assets. The office tower forms part of the GPO and Westin Hotel complex within the CBD’s financial sector core.

CEO of Charter Hall Direct Property, Mr Richard Stacker said, “The equity raising provided investors with the opportunity to invest in a prime office asset at a time when property market conditions have the potential to experience a recovery. The capital raising has been oversubscribed ahead of the closing date supported by existing and new Charter Hall clients and advisers, who have identified a pending upswing in the property market and the scarcity of high grade institutional grade property available for investment.”

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Mr Stacker further added, “the exceptional capital raising result for the Trust provides momentum for Charter Hall’s other property offerings, such as the 130 Stirling Street Trust, to be finalised in the short term. Furthermore, it gives us the confidence to launch other high quality property offerings in the industrial and retail sectors to investors and their financial advisers.”

Charter Hall Group Joint Managing Director, David Harrison, stated "we are delighted to extend the strategic relationship with Macquarie Group for the benefit of investors in both managed funds and to have achieved a successful equity raising for the Macquarie Martin Place Trust, which now boasts a conservative gearing level of approximately 33%. We look forward to further growth in retail equity raisings for our suite of unlisted property funds to take advantage of the changing direction of the property cycle."

For further information or to arrange a media interview please contact:

David Harrison David Southon Joint Managing Director Joint Managing Director 0412 259 751 0418 479 155 david.harrison@charterhall.com.au david.southon@charterhall.com.au

Kylie Ramsden

Head of Listed Investor Relations +61 2 8295 1016 kylie.ramsden@charterhall.com.au

About the Charter Hall Group:

Charter Hall Group is a property funds management and development company, based in Sydney with offices in Melbourne, Brisbane, Perth, Adelaide, Auckland and Chicago. Established in 1991 and listed on the ASX in 2005 as a stapled security, Charter Hall Group combines Charter Hall Limited with Charter Hall Property Trust, which will now own and/or manage over $10 billion in real estate assets. The Charter Hall Group has achieved a solid track record across its activities demonstrating a 19 year history of managing wholesale and retail capital, making it one of Australia's leading property fund managers. Charter Hall's success has been underpinned by a highly skilled and motivated management team with diverse expertise across property sectors and risk-return profiles.

For further information on Charter Hall Group and Charter Hall Retail REIT go to www.charterhall.com.au

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Disclaimer

Units in Macquarie Martin Place Trust are issued by Charter Hall Direct Property Management Limited (formerly Macquarie Direct Property Management Limited) ABN 56 073 623 784; AFSL 226849 (“CHDPML”). Units in 130 Stirling Street Trust (SST) are issued by Charter Hall Funds Management Limited (CHFML) ABN 31 082 991 786; AFSL 262861. To obtain a copy of the MMPT or SST PDS or for any other enquires, call CHDPML or CHFML on 1300 652 790 (local call cost). Potential investors should consider the relevant PDS when deciding whether to invest in MMPT or SST.

This release is not an offer to sell or a solicitation of an offer to subscribe or purchase or a recommendation of any securities referred to herein including the MMPT and SST. This information has been prepared for information purposes only. The information herein has not taken into account any potential investors’ personal objectives, financial situation or needs. Before investing, you should consider your own objectives, financial situation and needs or you should obtain financial, legal and/or taxation advice.

CHDPML and CMFML do not receive fees in respect of the general financial product advice they may provide, however they will receive fees for operating MMPT and SST respectively which, in accordance with the Constitutions, are calculated by reference to the value of the assets of MMPT or SST. Entities within the Charter Hall Group may also receive fees for managing the assets of, and providing resources to MMPT or SST. For more detail on fees, see our latest annual report. To contact us, call 1300 652 790 (local call cost).