GOODMAN GROUP — Capital/Financing Update 2006

Jul 2, 2006

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

Macquarie Goodman enhances MGW Portfolio

3 July 2006 Release: Immediate
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Macquarie Goodman today announced that it has entered into a series of agreements for the disposal of properties to the Macquarie Goodman Australian Wholesale Fund ("MGW"). MGW has also entered into a number of acquisitions sourced directly from the market.

MGW has exercised its first right of refusal in order to acquire properties from Macquarie Goodman. The transaction values are based on independent valuations.

The Macquarie Goodman disposals are primarily development projects at various stages of completion. At Prestons Distribution Centre a pre-commitment to Mainfreight has been achieved whilst at Boundary and Fitzgerald Distribution Centres in Laverton, Victoria a precommitment has been reached on the remaining portion of a site containing existing facilities. Macquarie Goodman disposed of the properties and development land for a total sale price of \$60.9 million with the properties valued at approximately \$100.1 million on completion of the expected development works.

Macquarie Goodman Disposal to MGW	Completed $NLA$ (sqm)	Developments NLA (sqm)
Boundary and Fitzgerald Distribution Centres, Vic	55.657	24,980
Prestons Distribution Centre, NSW		23,970
Total	55.657	48,950
Weighted Average Lease Expiry		10.1 years

MGW has also confirmed four new development projects for a total end value of \$83.8 million. The projects will add 70,950 sqm to the MGW portfolio and have a weighted average lease expiry of 13.4 years. Macquarie Goodman will deliver all the facilities on a fixed price contract basis except for the Siemens facility which will be undertaken on a fee for service basis. The opportunities were sourced by Macquarie Goodman.

MGW New Development Projects	Ownership	Developments
	interest	$NLA$ (sqm)
Coles CDC - M7 Business Hub, NSW	$50\%*$	49,034
Linfox Facility - Goldsborough Industrial Estate, SA	50%*	13,826
Lafarge Facility - Goldsborough Industrial Estate, SA	100%	4,000
Siemens Facility - Campbellfield Distribution Centre, Vic	-100%	4,090
Total		70,950
Weighted Average Lease Expiry		$13.4 \,\mathrm{years}$

* The remaining 50% balance is owned by third parties.

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 Sydney 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

Commenting on the transactions, Mr David van Aanholt, Chief Executive Officer, Australia, said, "We have secured new major commitments from existing customers and are pleased that MGW has once again chosen to acquire the assets in various stages of development."

Mr van Aanholt added, "The disposal of properties reflects Macquarie Goodman's commitment to the execution of our business model, namely the recycling of capital and the enhancement of our managed funds."

Post the acquisition and completion of the developments, MGW will comprise a portfolio of 47 properties valued at approximately \$1.6 billion, with gearing of 33% at 30 June 2006.

These transactions will crystallise earnings for Macquarie Goodman which are consistent with its FY06 financial forecasts.

For further information, please contact Macquarie Goodman:

David van Aanholt Chief Executive Officer - Australia Tel: +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 Sydney 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