CHARTER HALL GROUP — M&A Activity 2018

Oct 21, 2018

22 OCTOBER 2018

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ASX ANNOUNCEMENT

FEDERAL COURT APPROVES SCHEME OF ARRANGEMENT

Folkestone Limited (" Folkestone ") is pleased to announce that the Federal Court of Australia (" Court ") has today made orders approving the proposed scheme of arrangement under which Charter Hall Limited will acquire 100 per cent of the ordinary shares in Folkestone (" Scheme ").

Folkestone expects to lodge a copy of the Court's orders with the Australian Securities and Investments Commission on 23 October 2018, at which point the Scheme will become legally effective. If this occurs, Folkestone will apply for its shares to be suspended from trading with effect from close of trading on 23 October 2018.

Folkestone shareholders who have questions in relation to the Scheme should contact the Folkestone Shareholder Information Line on 1300 032 756 (within Australia) or +61 2 8023 5418 outside of Australia between 9:00am and 5:00pm (Sydney time) on business days.

For further information, please contact:

GREG PARAMOR AO SCOTT MARTIN Managing Director CFO and Company Secretary Ph: 02 8667 2800 Ph: 03 9046 9910

ADRIAN HARRINGTON

Head of Funds Management Ph: 02 8667 2882

About Folkestone

Folkestone (ASX:FLK) is an ASX listed real estate funds manager and developer providing real estate wealth solutions. Folkestone’s funds management platform, with more than $1.6 billion under management, offers listed and unlisted real estate funds to private clients and select institutional ‐ investors, while its on balance sheet activities focus on value add and opportunistic (development) real estate investments. www.folkestone.com.au

Folkestone Limited ABN 21 004 715 226 e: office@folkestone.com.au www.folkestone.com.au

Sydney Office Level 10, 60 Carrington Street Sydney NSW 2000 t: +61 2 8667 2800 f: +61 2 8667 2880

Melbourne Office Level 14, 357 Collins Street Melbourne Vic 3000 t: +61 3 9046 9900 f: +61 3 9046 9999