GOODMAN GROUP — Capital/Financing Update 2007

May 16, 2007

Macquarie Goodman

Level 10 60 Castlereagh Street Sydney NSW 2000 GPO Box 4703 Sydney NSW 2001 Tel: (61 2) 9230 7400 Fax: (61 2) 9230 7444 www.macquariegoodman.com

No. 1 Martin Place SYDNEY NSW 2000 PO Box 4294 SYDNEY NSW 1164 Tel: (61 2) 8232 3333 Fax: (61 2) 8232 7780 www.macquarie.com.au

Joint ASX Release – Macquarie Goodman Group and Macquarie Bank Limited

Macquarie Goodman Asia creates Japanese business alliance with J-REP

Date: 17 May 2007 Release: Immediate

Macquarie Goodman Asia¹ today announced that it has agreed to acquire a majority stake in Japan Representative ("J-REP") and enter a strategic alliance ("Alliance"). J-REP is a logistics focussed property business providing a range of property services / brokerage, fund management and development services to its customers and investors.

The two parties have agreed to work together, capitalising on their strengths, to create a leading Japanese logistics property platform providing complete solutions to global customers and investors. As part of the Alliance, Macquarie Goodman Asia has agreed to inject ¥30 billion (A\$304 million) of capital into J-REP via an issue of new J-REP securities with the proceeds being utilised by J-REP to accelerate its growth plans. Macquarie Goodman Asia will hold circa 53 per cent of J-REP post the capital injection.

Gregory Goodman, Chief Executive Officer of Macquarie Goodman Group ("Macquarie Goodman") said, "We are delighted to be forming this alliance with J-REP. The growth prospects for the platform in Japan are very exciting which combined with the revenue benefits we can derive from our global customer and investor base creates an excellent investment prospect for us. J-REP's experienced management team remain committed to the business going forward. We look forward to realising the full potential of the business with the backing of Macquarie Goodman Asia."

James Hodgkinson, co-head of Macquarie Bank's Real Estate Capital division, added, "Japan is a large and exciting market that presents a great opportunity in the logistics space. J-REP's local knowledge and experience combined with Macquarie Goodman Asia's track record in development and funds creation has the potential to deliver a market leading platform in a high growth marketplace."

J-REP

J-REP was founded in 1980 and has specialised in the provision of real estate brokerage services in the logistics sector. In 2005, J-REP took this market knowledge and expanded its operations to include the provision of asset management and development services. The group is listed on the Tokyo Stock Exchange (Mothers) Index (TSE: "8992") and will have a market capitalisation post this transaction of circa ¥57 billion (A\$574 million).

¹ Macquarie Goodman Asia will be subscribing for J-REP shares via Macquarie Goodman Japan Pte Ltd, a company 50/50 owned by Macquarie Goodman Group and Macquarie Bank

J-REP has experienced substantial growth through its transition phase and currently generates revenue from funds management, property services / brokerage and development management. Over the past 18 months the group has grown its assets under management to circa ¥86 billion (A\$860 million).

Mr Goodman commented "Consistent with our expansion in Europe, J-REP's similar customer service philosophy, experienced management team, local knowledge and high quality logistics assets provide a strong cultural fit with Macquarie Goodman Asia and gives us a platform in Japan which we have sought for some time."

Japanese Alliance

J-REP will become Macquarie Goodman Asia's Japanese platform and will remain listed on the TSE (Mothers). The proceeds from the transaction will provide the business with sufficient working capital to move rapidly to secure investment and development assets for its managed fund platform. In addition J-REP will increase its investment in development projects via both co-investments into its managed funds and directly on its balance sheet. Following the issue of additional securities, Macquarie Goodman Asia will hold circa 53 per cent of J-REP's securities on issue.

J-REP is well advanced in preparing to launch a logistics fund in 2008 and it is envisaged that a large portion of the business' current assets under management as well as new properties secured with the Alliance proceeds will be used to seed this fund. This fund will have access to J-REP's completed development projects and proven deal sourcing abilities as well as Macquarie Goodman Asia's funds management expertise and global investor relationships making it a very attractive investment prospect.

J-REP's management team will continue in their current roles, with Macquarie Goodman's Japan based staff being integrated into the J-REP platform. Post the Alliance, J-REP's senior management will hold circa 19 per cent of the expanded equity base. The group's founder and Chief Operating Officer have each agreed to hold 80 per cent of their respective shareholdings for a period of 3 years providing substantial alignment of interest with Macquarie Goodman Asia.

Macquarie Goodman Asia has nominated three representatives to the J-REP board of directors, Gregory Goodman, James Hodgkinson and Stephen Hawkins. The appointment of these representatives to the J-REP board will be considered by J-REP securityholders at their Annual General meeting on 12 June 2007. This, combined with representation from Stephen Hawkins and Matthew Gibb on the group's regional operating committee will allow J-REP to benefit from Macquarie Goodman Asia's experience and maximise the potential synergies from the Alliance.

Kiyohiro Wamoto, J-REP's founder and President, said, "We are very excited to be forming this Japanese alliance with Macquarie Goodman Asia. We are committed to expanding our presence in Japan and with a like minded partner such as Macquarie Goodman Asia we feel we can achieve our goals sooner and create value for all stakeholders. We have for some time been looking for a way to provide our many local customers access to global markets and expect that we will in turn be able to provide Macquarie Goodman Asia's customers with a full range of services in Japan."

Macquarie Goodman Asia

Macquarie Goodman Asia is a joint venture between Macquarie Goodman and Macquarie Bank which in 2006 launched a Hong Kong wholesale fund with a portfolio now valued at A\$1.0 billion. The Alliance is consistent with both Macquarie Goodman's and Macquarie Bank's strategy of identifying markets to create specialist property funds to satisfy the increasing demand for real estate investments.

Together with associates, Macquarie Bank's real estate businesses have been active in Japan for 6 years. Across Asia, Macquarie and its associates now have a team of more than 460 people with assets under management of more than A\$3.2 billion.

The net impact of the transaction on Macquarie Bank Tier 1 capital ratio and P&L is not material.

Impact on Macquarie Goodman

Macquarie Goodman Asia is subscribing for 75,950 new J-REP securities at a price per security of ¥400,000 representing a 3.5 per cent discount to the 1 month average closing price. The acquisition price per security of ¥400,000 represents a trailing FY07 EV/EBITDA multiple of 10.9 $x^2$

Macquarie Goodman's A\$162 million share (including costs) of the acquisition price will be funded in Japanese Yen denominated debt from existing facilities and is expected to be neutral to earnings in FY07 and FY08 and contribute positively thereafter. Macquarie Goodman's gearing will rise to 45 per cent in the short term.

UBS Securities Japan Ltd and UBS AG, Australia Branch acted as transaction broker and financial adviser to Macquarie Goodman Asia. Macquarie Bank acted as financial adviser to Macquarie Goodman Asia.

For further information, please contact:

Gregory Goodman Chief Executive Officer Macquarie Goodman Group Tel: +61 2 9230 7400

James Hodgkinson Co-head Real Estate Capital Macquarie Bank Limited Tel: +61 2 8232 3333

² Year ending 20 March 2007

Executive summary

• Macquarie Goodman Asia (MGA)¹ has agreed to enter a strategic alliance and acquire a $\rightarrow$ circa 53% interest in Japan Representative (J-REP)
• J-REP is a Japan logistics specialist providing a range of property services / brokerage, $\rightarrow$ asset management and development services to its customers and investors (a "Japanese $MGM''$ )
• MGA to inject ¥30 billion (A\$304 million) into J-REP via an issue of new securities - $\rightarrow$ proceeds utilised by J-REP to accelerate its growth plan
• Issue price of ¥400,000 per security represents a 3.5% discount to the 1 month average closing $\rightarrow$ price and a trailing EV / FY07 EBITDA multiple of 10.9x²
• $\rightarrow$ Provides MGA with the people and capacity to expand the Customer Service Model in Japan - 90+ experienced professionals
• Macquarie Goodman Group (Macquarie Goodman) to fund its A\$162 million share³ of $\rightarrow$ the acquisition via existing debt facilities (gearing increases to 45%)

• Transaction expected to be neutral to Macquarie Goodman's earnings in FY08 and $\rightarrow$ contribute positively thereafter

• MGA is a 50/50 JV between Macquarie Goodman Group and Macquarie Bank. MGA will be subscribing for J-REP shares via Macquarie Goodman Japan Pte Ltd, a company 50/50 owned by Macquarie Goodman Group and Macquarie Bank 2. Year ended 20 March 2007 Exchange rate of 100.0 ¥ / \$A used through presentation 3. Including costs

Contents

Section 1 The Japanese opportunity

Section 2 J-REP overview

Section 3 Alliance summary

Section 4 Recap

Appendices

Overview

• Macquarie Goodman has identified Japan as a key expansion opportunity for the group $\rightarrow$
• Commenced operations in April 2006 $\rightarrow$
• Language and cultural differences mean a local platform is crucial to success $\rightarrow$

THE UNION CONTINUES GIKERWENGI SI EXPLOITELLE	2 nd largest economy in the world Attractive growth outlook following 15 years of deflation
2. Vincent of M	Japan is rapidly moving towards outsourcing logistics operations and real estate
GEORIA	Limited proportion of existing logistics space is suitable for modern supply chains
Inskates	Annual construction activity in Japan comparable with Australia despite Japan having 6
	times the population
CASTOTING TO	1% of J-REIT's A\$60bn market cap is industrial, providing latent investment demand
FLYARY THERE	Large portion of high quality modern real estate controlled by developers
$\begin{tabular}{ c c c c c c c c c c c c c c c c c c c$	Real estate continues to trade at high spread relative to Japanese debt
. ZENTRICHTEN service model	Macquarie Goodman has 100 Japanese customers globally - Japanese platform enhances relationship Global customers have approached Macquarie Goodman to assist with Japanese space requirements Global competitors provide Japanese solutions to their customers

Economic background

• Japan is a substantial market with 128 million people $\rightarrow$
• GDP of A\$5.3 trillion is approximately 6 times Australia $\rightarrow$
• The Japanese economy is recovering from a 15 year deflationary environment $\rightarrow$
• $\rightarrow$ Low interest rate environment spurring economic growth
• $\rightarrow$ Corporate profitability fuelling wage growth - leading to increased consumer spending and rental growth
• Japan is attractively positioned relative to other major economies of the world $\rightarrow$

GDP comparison

.	KERA DI SERIKA SERIKA DENGAN DENGAN DENGAN DENGAN DENGAN DENGAN DENGAN DENGAN DENGAN DENGAN DENGAN DENGAN DENG Tillich	E ACA E A LA PERSONA DE MODERNA E ACA E A LA PERSONA DI MUNICIPALE DE	Cisine Landary Company (milion) (AS)
US	15.2	297	51.167
EU ex UK	13.7	402	34,189
Asia ex Japan	6.8	3.001	2.270
Japan	5.3	128	41,678
UK	2.7	60	45,136
Australia	0.9	21	42,320

Source: Australian Department of Foreign Affairs 2005 data, IMF

Land constrained market

• Industrial land prices are significantly lower than the 'boom' period of the early 1990's $\rightarrow$
• However price of industrial land remains high construction of multi-storey facilities is $\rightarrow$ common
• Planning rules create scarcity understanding of process key for development $\rightarrow$
• Greater Tokyo is the largest market $\rightarrow$

Outsourcing trend

• Japanese companies are changing the way they view the occupancy of logistic property - $\rightarrow$ outsourcing trend since 2000
• Trend has been accelerated by many Japanese companies outsourcing their entire $\rightarrow$ logistics function to 3PLs

Factors driving the move to leasing logistic facilities

Fall in industrial land prices

Change in Japanese leasing laws in favour of tenants

Increased need for efficient operation ĸi

MACQUARIE GOOGLE Vlacquarie

The Japanese opportunity

New construction trends

• Supply has lately failed to even replace the 2% 3% of facilities that outlive their useful $\rightarrow$ lives each year
• The majority of logistics facilities in Japan are cramped and tired spaces →
• Expectation for continued increase in the volume of new construction, driven by: →
• $\rightarrow$ Improving market conditions in the Japanese economy
• Increased demand for high quality modern space $\rightarrow$
• Low base of 3.5m sqm per annum (comparable to Australia yet Japanese economy 6 times $\rightarrow$ larger)

J-REP overview

• Since its foundation in 1980, J-REP has specialised in the provision of property services / $\rightarrow$ brokerage in the logistics sector
• In 2005 J-REP used its knowledge of the Japanese logistics market (through property $\rightarrow$ services) to expand its operations to include the provision of asset management and development services
• Listed on Tokyo Stock Exchange (Mothers Board) with a current market cap of ¥27.0bn $\rightarrow$ $(AS270m)^1$
• Total FUM of A\$860m including A\$370m currently under development $\rightarrow$
• $\rightarrow$ Dedicated team of 98 professionals with offices in Tokyo, Osaka and Nagoya

J-REP overview

Services provided

• J-REP provides a full suite of services to customers and investors $\rightarrow$
• Generate revenue from funds management, development management, property $\rightarrow$ services / brokerage and development management
• J-REP fees are levied on a broadly similar basis to Macquarie Goodman $\rightarrow$
• Customer-led approach similar operating philosophy to Macquarie Goodman $\rightarrow$

2007 operating revenue by service provided

Source: J-REP 2007 Annual Report (year ending 20 March 2007)

GOOGLE

Macquarie

J-REP overview

Sample completed projects

Property Name Completion Gross floor area J-REP LogiStation Osaka Nanko March 2007 64,399 sqm

Property Name Completion Gross floor area J-REP LogiStation Ashikaga March 2007 30,865 sqm

Sample development projects

Property Name Est. Completion Gross floor area Matsudo Logistics Centre (Tentative name) November 2007 54,861 sqm

Property Name Est. Completion Gross floor area J-REP LogiStation Kobe February 2008 75,603 sqm

J-REP overview

Property services / brokerage

• J-REP senior management have circa 30 years experience in Japanese property services / $\rightarrow$ brokerage
• $\rightarrow$ Experience enables J-REP to understand the needs of end customers
• Ability to develop efficient facilities in accordance with these needs $\rightarrow$
• Strong brand presence in Japan + relationship with over 400 customers a key point of → difference
• Provides extremely strong foundation for asset management and development activities $\rightarrow$
• c70% of FY07 property services / brokerage revenue derived from J-REP managed funds $\rightarrow$

J-REP overview

Fund management

• J-REP has rapidly expanded its asset management platform over the last 2 years $\rightarrow$
• Currently 27 assets under management with a value of ¥86 billion (A\$860 million) $\rightarrow$
• $\rightarrow$ Funds include both stabilised income producing assets and development projects
• 53% (by value) of the portfolio is located in the key Kanto market (greater Tokyo) $\rightarrow$
• ¥200 billion+ (A\$2 billion) of acquisition opportunities under consideration $\rightarrow$

Portfolio location (no. of buildings)

Growth in AUM (¥bn)

Source: Company information

GOOGE

Macquarie

J-REP overview

Development capability

• J-REP has completed / is currently undertaking ¥62 billion (A\$618 million) of development $\rightarrow$ projects for its managed funds
• 12 projects with an average size of 35,000 sq m $\rightarrow$
• Development capability provides a key point of difference for managed funds given limited $\rightarrow$ quality investment opportunities

J-REP development projects

Project name	Location	GLA (sqm)	Value (¥ bn)	Expected completion
ye - samanyan wasanti wawayna sama 60. Marti Litti a Litti Litti Martin Wallach. Waanaanaa wanaanaana wasanti mareka 1977.
Osaka Nanko	Osaka	76,681		Mar 2007
Naruohama	Hyogo	28,702		May 2006
Ashikaga	Ashikaga	33,925		Mar 2007
Iruma	Saitama	23,822		Mar 2007
Sakado	Saitama	23,733		Aug 2006
Aichi Mitsuyoshi	Aichi	6,723		Mar 2007
Total completed		205,671	24.8
a dhe a cikin matata a tatalam matata matata a ma
Kobe Fukaehama	Hyogo	75,261		Feb 2008
Higashi-Ogijima	Kanagawa	44,802		May 2008
Matsudo	Chiba	56,560		Nov 2007
Yokohama Kohoku	Kanagawa	12,085		May 2009
Fukuoka	Fukuoka	27,213		Mar 2008
Settsu Torikai	Osaka	12,711		Apr 2008
Total under development		216,547	37.0
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COOLS

Macquarie

J-REP overview

Key management

Kivohiro Wamoto (Representative Director, President, CEO)

Wamoto-san has over 25 years experience in tenant leasing and relationships with >400 clients.

Kazuhiko Mizoguchi (Director, General Manager of Administration Division. Manager of Finance Department)

Mizoguchi-san joined J-REP in February 2005 having previously working at Auve and Global Insurance.

Tadato Kataji (Representative Director, Executive Vice President, COO, General Manager of Asset Management Division)

Kataji-san joined J-REP in 2005 bringing extensive knowledge of corporate investments and an investor network.

Kaname Wakabayashi (Director, Deputy General Manager of Asset Management Division)

Wakabayashi-san was appointed to the J-REP board in January 2005 and undertook his current position of Deputy General Manager of Asset Management Division in August 2006.

Tadao Wamoto (Managing Director, Senior Vice President, General Manager of Brokerage Division)

Established J-REP with Kiyohiro Wamoto and heads up the group's Brokerage division.

Masahiro Suyama (Proposed election to board at next AGM)

Suyama-san has been the internal auditor for J-REP since June 2006. He has previously held positions as both Managing Director and President of LTCB Trust and Banking (now called Shinsei Trust and Banking).

Combining the established J-REP platform with Macquarie Goodman's global relationships $\rightarrow$ and expertise creates the opportunity to be the Japanese leader in logistics

Japanese

Alliance

Local Katowiczech GUSTON LES SAN DIRETTES

Team of 901 Jacan cased FIOTESSTOTELS

Customer-emiric business meer va

Global customer and investor relationships

NIGA

Capital to secure investment and development opportunities

Funds management. expertise and track record

Alliance opportunities

• Ability to accelerate logistics FUM growth with Macquarie Goodman global customer $\rightarrow$ relationships and development expertise
• Opportunity to introduce Macquarie Goodman investors to J-REP managed funds and vice $\rightarrow$ versa
• $\rightarrow$ Large global investors have significant demand for Asian real estate
• Opportunity to launch a J-REP managed Fund to acquire completed development product $\rightarrow$
• Ability to capitalise on Japanese logistics market opportunities utilising J-REP's local $\rightarrow$ knowledge
• Re-positioning of older warehouse space $\rightarrow$
• Development of modern logistics properties $\rightarrow$
• $\rightarrow$ Outsourcing trend from Japanese companies
• Opportunity to deliver enhanced global solutions to customers in Australia, Asia, the UK $\rightarrow$ and continental Europe and crystallise revenue opportunities

Alliance structure

• MGA has agreed to subscribe for 75,950 $\rightarrow$ shares in J-REP via a 3rd party allotment of new shares
• $\rightarrow$ ¥30 billion (A\$304 million) equity injection
• $\rightarrow$ MGA ownership post of c53% (50.1% on a fully diluted basis)
• $\rightarrow$ MGA to retain new JV shares for at least 3 years
• MGA entity owned 50/50 by Macquarie $\rightarrow$ Goodman and Macquarie Bank

Ownership structure post¹

^1. Pre exercise of employee options - MGA holds 50.1% on fully diluted basis

• J-REP market capitalisation will increase to c¥57 billion (A\$574 million)¹ →
• Proposal does not require a vote of J-REP shareholders and is expected to be completed on $\rightarrow$ 8 June 2007

Alliance business plan

• Alliance business plan has been agreed between J-REP and MGA $\rightarrow$
• Business plan designed to transition the J-REP business by expanding the asset $\rightarrow$ management platform and increasing development capability

KATHARANG SEKARAT PADA SA PADA SA PADA SA PADA SA PADA SA PADA SA PADA SA PADA SA PADA SA PADA SA PADA SA PADA	- Utilise MGA capital injection to secure investment and development assets for managed fund platform - Increase on balance sheet investment in development projects
I THERE	- Launch J-REIT in early 2008 with seed portfolio from current funds and assets secured with MGA capital injection - Recycle capital into further development projects
LINESTING	- Continue to recycle capital into development and repositioning opportunities - Increase exposure to recurring fund management income as AUM increases

Integration and alignment

• J-REP's management team will continue in their current roles $\rightarrow$
• Kiyohiro Wamoto to remain as CEO $\rightarrow$
• Tadato Kataji to remain as COO $\rightarrow$
• Macquarie Goodman's Japan based staff will be integrated into the J-REP platform →
• 3 MGA representatives nominated to the J-REP Board (for approval at 12 June AGM) →
• Greg Goodman, James Hodgkinson and Stephen Hawkins $\rightarrow$
• In addition, MGA to have representation on J-REP's operating committee $\rightarrow$
• $\rightarrow$ Allows J-REP to benefit from MGA's experience and maximise the potential synergies from the alliance
• Post alliance, J-REP's senior management will hold c19% of expanded equity base $\rightarrow$
• $\rightarrow$ 80% of key senior management shares to be retained for at least 3 years
• $\rightarrow$ MGA has first right of refusal on all key senior management shares
• 59 J-REP executives hold J-REP options and it is anticipated that J-REP will issue additional $\rightarrow$ options to staff going forward

% held post 1	Value at ¥400,000	Retention	MGA rights
Kiyohiro Wamoto
Tadato Katali $-7.2\%$ . $-1.2\%$		80% over 3 years	MGA first right of
Tadao Wamoto 1.5%

1. Pre exercise of employee options

Acquisition due diligence process

• MGA conducted detailed due diligence of the J-REP business over a 6 week period $\rightarrow$
• Senior MGA representatives have spent time with J-REP management in Japan and Sydney $\rightarrow$
• In addition, third party advisers were engaged to assist with the due diligence process $\rightarrow$
• The due diligence process did not highlight any material concerns $\rightarrow$

A CHAIRTHICH	Detailed review of last 3 years' financial accounts Review of accounting policies and procedures including management interviews
EGILET I	Detailed review of corporate structure, fund contracts and property ownership Acquisition to be via a third party allotment approved by J-REP Board
E DE LA SEU SECONDO DE LA SECONDO DE E DE LA SECONDO DE LA SECONDO DE LA SECONDO DE LA SECONDO DE LA SECONDO DE LA SECONDO DE LA SECONDO DE LA SECON	Integration of existing Macquarie Goodman employees in Japan into J-REP platform MGA representation on operating committee and J-REP Board
E C. C. Management	Detailed reviews of tax function and tax position Tax structuring for MGA acquisition
Luikiko kaina	Current workbook inspected by senior MGA personnel Review of outstanding proposals and financial parameters

Global funds management and development capability

• Addition of Japan platform heightens ability to provide global fund management and $\rightarrow$ development solutions to international customers and investors
• Post Alliance, Macquarie Goodman global FUM +2% to A\$35.7 billion $\rightarrow$
• Development workbook rebalanced with higher weighting in Asia $\rightarrow$

Macquarie Goodman AUM diversity

Macquarie Goodman development workbook diversity¹

1. Current work in progress, by end value, on a look-through basis for investment in $J$ -REP

Acquisition pricing

• Agreed acquisition price of ¥400,000 per J-REP share reflects a 3.5% discount to the 1 $\rightarrow$ month average closing price
• Acquisition price represents a trailing FY07 EV / EBITDA of circa 10.9x $\rightarrow$

Macquarie Goodman capital management

• Acquisition price and costs shared 50:50 with Macquarie Bank total Macquarie Goodman $\rightarrow$ contribution of A\$162 million¹
• Transaction to be funded via existing debt facilities in Japanese Yen denominated debt →
• Macquarie Goodman pro forma gearing to increase to 45% in the short term →

Macquarie Goodman financial impact

• Transaction expected to be neutral to Macquarie Goodman's FY08 EPS and expected to $\rightarrow$ contribute positively to EPS from FY09 onwards
• Transaction not expected to have a material impact on Macquarie Goodman's earnings $\rightarrow$ mix

Recap

• MGA has agreed to enter a strategic alliance and acquire a c53% interest in J-REP $\rightarrow$
• J-REP is a Japan logistics specialist providing a range of property services / brokerage, $\rightarrow$ asset management and development services to its customers and investors (a "Japanese $MGM'$
• Provides MGA with the people and capacity to expand the Customer Service Model in $\rightarrow$ Japan - 90+ experienced professionals
• Transaction expected to be neutral to Macquarie Goodman's earnings in FY08 and $\rightarrow$ contribute positively thereafter

B. J-REP development case studies

J-REP LogiStation Osaka Nanko

The largest development project in the J-REP portfolio

• LogiStation Osaka Nanko is the largest facility among → the 26 logistics centres to be acquired /developed by J-REP by floor area, and the 3rd completed development property
• Completed in March 2007 →
• Jointly developed with Simplex Investment Advisors → Inc.
• Located in close proximity to the interchange of the → Gulf Line of the Hanshin Expressway Osaka, providing excellent access to the Osaka urban area. Also located close to the foreign-trade container berth
• Key features →
• → Steel-framed 4-storey building
• Site area 35,883 sqm →
• Gross floor area 76,681 sqm →
• → Tenant - Kokuyo Logitem
• J-REP's role →
• → Leasing
• → Construction management
• Fund raising →
• → Asset management

Location	Nanko, Osaka
Site area (sqm)	35,883
Gross floor area (sqm)	76,681
Tenants	Kokuvo Logitem
n and a baile and a baile of the contract of
NOI cap rate	6.8%
ROC.	27.7%

B. J-REP development case studies

J-REP LogiStation Iruma, Saitama

BTS property close to the highway IC that will open in the future

• Completed in March 2007 →
• Located close to Oome IC of Metropolitan Inner City → Expressway ("Ken-O-Do Expressway")
• Infrastructure upgrades are planned, making long-haul $\rightarrow$ transport to Hokuriku area via Ken-O-Do Expressway and Kanetsu Expressway possible and providing increased logistics potential through improved access to near-by urban areas
• Key features →
• → Steel-framed 2-storey building
• → Site area - 28,530 sqm
• $\rightarrow$ Gross floor area - 25,634 sqm
• → Tenant - Logicom (listed on Hercules, Osaka Securities Exchange)
• $\rightarrow$ Wide spaced one-sided berths with parking space for 43 heavy articulated trucks
• J-REP's role →
• $\rightarrow$ Leasing
• → Construction management
• → Fund raising
• → Asset management

All and the communication of the communication Location	Mokurenji, Iruma, Saitama
Site area (sqm)	28,530
Gross floor area (sqm)	25,634
Tenants	Logicom
HALL HALL
NOI cap rate	6.9%
ROC.	10.3%

MACQUARIE

DOOGLE

Macquarie

Thank you

Disclaimer

This presentation has been prepared by Macquarie Goodman Groupcomprising Macquarie Goodman Funds Management Limited (ACN 067 796 641) (AFSL 223621) as Responsible Entity for the Macquarie Goodman Industrial Trust (ARSN 091 213 839) and Macquarie Goodman Management Emmited (ACN 000 123 071). The details in this presentation provide general information only. It is not intended as investment or financial advice and must not be relied upon as such. All figures have been calculated with reference to net annual income unless otherwise stated. You should obtain independent professional advice prior to making any decision. This release is not an offer or invitation for subscription or purchase of securities or other financial products. This release does not constitute an offer of securities for sale in the United States. Securities may not be offered or sold in the United States unless they are registered under the US Securities Act of 1933 or an exemption from registration is available. Past performance is no indication of future performance. All values are expressed in Australian currency unless otherwise stated. May 2007

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