GOODMAN GROUP — Capital/Financing Update 2006

Sep 20, 2006

ASX Release - Macquarie Goodman Group ("Macquarie Goodman")

Macquarie Goodman makes \$432 million logistics and office park acquisition in the UK

Date: 21 September 2006 Release: Immediate

Macquarie Goodman is pleased to announce that it has acquired a portfolio of logistics and office park properties in the United Kingdom, for \$431.8 million (£179.4 million) from Kuwait Finance House.

The portfolio consists of eight prime single fully leased properties including three office park assets comprising 46% of the value and five logistics properties accounting for 54%. The assets are located in key strategic locations in the South East. South West. Midlands and the North of the UK. The portfolio reflects an initial yield of 5.6% (inclusive of acquisition costs) with a weighted average lease term of 9.9 years.

The logistics portfolio comprises five modern single tenanted assets containing 90,293 sgm with a total value of \$235.0 million (£97.9 million). This portfolio has a weighted average lease term of 9.8 years and is underpinned by leading companies such as Unilever, General Electric and Wincanton Holdings.

The office park portfolio comprises three "Grade A" single tenanted assets containing 15,564 sqm and high car park ratios with a value of \$196.8 million (£81.5 million). This portfolio has a weighted average lease term of 10.3 years and is underpinned by leading companies including General Electric, Apple Computers and LogicaCMG.

The acquisition is to be funded by debt but is not expected to materially alter market consensus earnings per share in the near term.

Chief Executive Officer of Macquarie Goodman, Gregory Goodman, said, "This transaction is consistent with the strategy indicated at the time of the establishment of the European funds management platform, which was to combine the local expertise in property and funds management with the global capability and balance sheet of Macquarie Goodman.

"This is a good opportunity to acquire a high quality portfolio of office park and logistics assets in the tightly held UK property market. The portfolio provides us with a further base to promote our funds management initiatives in the UK."

For further information, please contact Macquarie Goodman:

Gregory Goodman Chief Executive Officer +61 2 9230 7400

Macquarie Goodman Group Macquarie Goodman Management Limited ABN 69 000 123 071 Macquarie Goodman Funds Management Limited ABN 48 067 796 641; AFSL Number 223621

Level 10, 60 Castlereagh Street Svdney NSW 2000 GPO Box 4703 Sydney NSW 2001

Telephone +61 2 9230 7400 Facsimile +61 2 9230 7444 info@macquariegoodman.com.au www.macquariedoodman.com

About Macquarie Goodman Group ("Macquarie Goodman")

• $1.$ Macquarie Goodman (ASX code: MGQ) is a publicly listed, integrated property group that focuses on the ownership, management and development of industrial property and business space throughout Asia Pacific and Europe, backed by a dedicated team of over 850 property professionals.
• As at 30 June 2006, the Group had \$18.9 billion of business space assets under $2.$ management and total assets under management of \$28.5 billion.
• $\overline{3}$ . As at 20 September 2006, Macquarie Goodman had a market capitalisation of approximately \$10.5 billion, making it the largest industrial property group listed on Australian Stock Exchange and one of the largest globally.
• $4₁$ Macquarie Goodman's proven Customer Service Model is the foundation of its business. It is designed to identify the diverse property requirements of customers through the delivery of a complete range of industrial property and business space products and in-house property services.
• 1. In December 2005, Arlington Securities Ltd ("Arlington") was acquired by Macquarie Goodman. Arlington is one of Europe's leading investment management and property services businesses operating across the United Kingdom, European and international markets. It is one of the largest property investment managers in Europe with £8 billion (€11.6 billion) of assets under management.
• Macquarie Goodman's further acquisition of European logistics property developer, 6. Eurinpro International SA ("Eurinpro") in May 2006, has provided Arlington with greater access to an extensive development pipeline. Eurinpro is a leading developer of tailor made logistics property having developed over £850million (€1.2 billion) of projects across Europe. It has over 90 staff and 425,000 sqm of projects currently under development.

Macquarie Goodman Group Macquarie Goodman Management Limited ABN 69 000 123 071 Macquarie Goodman Funds Management Limited ABN 48 067 796 641; AFSL Number 223621

Level 10, 60 Castlereagh Street Svdney NSW 2000 GPO Box 4703 Sydney NSW 2001

Telephone +61 2 9230 7400 Facsimile +61 2 9230 7444 info@macquariegoodman.com.au www.macquariedoodman.com