GOODMAN GROUP — Investor Presentation 2018

Jun 13, 2018

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Goodman Group Investor Day

Date 14 June 2018 Release Immediate

Goodman Group (Goodman or Group) advises that it will host an institutional investor and analyst update today. The attached presentation was issued as a supporting document for the briefing.

Ends –

For further information please contact;

Investors James Inwood Group Head of Stakeholder Relations Tel: +612 9230 7400

Media Michelle Chaperon Group Head of Corporate Communications Tel: +612 9230 7400

About Goodman

Goodman Group is an integrated property group with operations throughout Australia, New Zealand, Asia, Europe, the United Kingdom, North America and Brazil. Goodman Group, comprised of the stapled entities Goodman Limited, Goodman Industrial Trust and Goodman Logistics (HK) Limited, is the largest industrial property group listed on the Australian Securities Exchange and one of the largest listed specialist fund managers of industrial property and business space globally.

Goodman’s global property expertise, integrated own+develop+manage customer service offering and significant fund management platform ensures it creates innovative property solutions that meet the individual requirements of its customers, while seeking to deliver longterm returns for investors.

Goodman Group

Goodman Limited | ABN 69 000 123 071 Goodman Funds Management Limited | ABN 48 067 796 641 | AFSL Number 223621 as responsible entity of Goodman Industrial Trust | ARSN 091213 839 Level 17, 60 Castlereagh Street, Sydney NSW 2000 | GPO Box 4703, Sydney NSW 2001 Australia Tel +61 2 9230 7400 | Fax +61 2 9230 7444

Goodman Logistics (HK) Limited | Company No. 1700359 | ARBN 155 911 149 | a Hong Kong company with limited liability Suite 2008, Three Pacific Place, 1 Queen’s Road East, Hong Kong | Tel +852 2249 3100 | Fax +852 2525 2070

info-au@goodman.com | www.goodman.com

For more information: www.goodman.com

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Goodman Group Investor Day

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14 June 2018

Important notice and disclaimer

• • This document has been prepared by Goodman Group (Goodman Limited (ABN 69 000 123 071), Goodman Funds Management Limited (ABN 48 067 796 641; AFSL Number 223621) as the Responsible Entity for Goodman Industrial Trust (ARSN 091 213 839) and Goodman Logistics (HK) Limited (Company Number 1700359; ARBN 155911142 – A Hong Kong company with limited liability). This document is a presentation of general background information about the Group’s activities current at the date of the presentation. It is information in a summary form and does not purport to be complete. It is to be read in conjunction with the Goodman Group Interim Financial Report for the half year ended 31 December 2017, the Financial Report for the year ended 30 June 2017 and Goodman Group’s other announcements released to ASX (available at www.asx.com.au). It is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any particular investor. These should be considered, with professional advice, when deciding if an investment is appropriate. This presentation is not an offer or invitation for subscription or purchase of securities or other financial products.
• • This document contains certain "forward-looking statements". The words "anticipate", "believe", "expect", "project", "forecast", "estimate", "likely", "intend", "should", "could", "may", "target", "plan" and other similar expressions are intended to identify forward-looking statements. Indications of, and guidance on, future earnings and financial position and performance are also forward-looking statements. Due care and attention has been used in the preparation of forecast information. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of the Group, that may cause actual results to differ materially from those expressed or implied in such statements. There can be no assurance that actual outcomes will not differ materially from these statements. Neither the Group, nor any other person, gives any representation, warranty, assurance or guarantee that the occurrence of the events expressed or implied in any forward looking-statements in this document will actually occur.

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Contents

+ Group introduction – Greg Goodman

+ Regional updates

• Australia - Jason Little

• New Zealand - John Dakin

• • Asia - Paul McGarry
• • Continental Europe - Philippe Van der Beken
• • United Kingdom - Charles Crossland
• • North America - Anthony Rozic

• Brazil - Cesar Nasser

+ Investment Management – Nick Kurtis

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Regional updates

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Australia – Jason Little

Snapshot¹
Assets under management	A$13.0bn
Stabilised properties	152
Investment GLA (sqm)	5.6m
Occupancy	96%
Managed Partnerships	4
People²	286

1. As at 31 March 2018

2. Includes MAC and Group corporate services

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8%
82%
10%
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Australia – Jason Little

• Market + Oakdale, Western Sydney

• Investment type + Development / investment properties Strategy + Large scale, multi-stage development + Located within western Sydney’s logistics hub of Eastern Creek

• Location + Offers direct access to the M4 and M7 Motorways and unrivalled connections to the greater Sydney metropolitan area

• • Comprising 3 stages (Central, South and West)

• Background and + Total area of approximately 204 hectares, 24 buildings in

• status Central and South precincts

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Australia – Jason Little

South Sydney inventory converted to mixed use since 2008

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South Sydney 2008
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South Sydney 2018
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Mixed use zone (existing or planned) - Tenants in-situ

Mixed use zone - Tenants displaced

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Goodman owned assets

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Upzone from IN1 to B6/B7 - Commercial now H&B use

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New Zealand – John Dakin

Snapshot¹
Assets under management	A$2.6bn
Stabilised properties	13
Investment GLA (sqm)	0.9m
Occupancy	99%
Managed Partnerships	2
People	61

1. As at 31 March 2018

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99%
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New Zealand – John Dakin

Market + Auckland, Otanuhu

• Development / investment properties

Investment type

• • Warehouse development

Strategy

• GMT’s only estate with direct access to the main rail corridor + Rail freight becoming more desirable with increased road congestion Location + Asset now sits directly between two main Auckland motorways post completion of SH20 (direct link between Airport and Auckland CBD)

• Total site area of 30.5 hectares, developed by Goodman since 2004, now 93% complete + 100% occupancy and a WALE of 8.5 years

Background and status

• • 30.5 hectares (total site area)

Site area Net lettable area

• 106,000 sqm

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Asia – Paul McGarry

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Snapshot¹
Assets under management	A$11.6bn
Stabilised properties	57
Investment GLA (sqm)	4.6m
Occupancy	99%
Managed Partnerships	2
People	286

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1. As at 31 March 2018

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Hong Kong 49%
Greater Shanghai 15%
Tokyo 12%
Osaka 9%
Greater Beijing 6%
Others 9%
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Asia – Paul McGarry

Market + Tuen Mun South - Hong Kong

Investment type + Development

Strategy + Large scale multi storey development + + Location

• Strategically located adjacent to new major infrastructure projects connecting Hong Kong and the Greater Bay Area + Hong Kong airport busiest global airport by cargo volume and expanding further cross-border + “Greater Bay Area” home to a population of 100 million people with GDP larger than Australia

• Acquired site in May 2018 via Government tender + Rare opportunity to offer a brand new, high specification facility capable of accommodating automation and robotics + Ability to move top-tier customers out of older industrial buildings into a new, modern logistics facility

Background and status

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Asia – Paul McGarry

Market + Shanghai, China

• • Brownfield redevelopment

Investment type

• • Large scale multi-storey development

Strategy

• • Well-connected by the extensive highway network which provides convenient access to some of the most prominent industrial parks and cities in the Yangtze River Delta
• • Only 35 km to downtown Shanghai and 13 km to downtown Kunshan

Location

• • Large site which took three years to acquire + Underwritten as a single level development comprising ~49,000 sqm

Background and status

• • Now proposing ~170,000 sqm over four levels

• Strong demand and limited supply driving development intensification

• • 73,000 sqm

Site area

• 170,000 sqm (proposed)

Net lettable area

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Asia – Paul McGarry

Market

Investment type

Strategy

Location

Background and status

• Greater Tokyo, Japan

• • Development / investment properties
• • Master-planned multi-stage, integrated logistics and business precinct
• • Located between Tokyo Narita Airport and Tokyo CBD along a major east-west arterial road in east Tokyo providing easy access to Greater Tokyo
• • Serviced by multiple toll-free access routes and on a train line providing direct access to central Tokyo as well as both Narita and Haneda airports
• • Goodman Business Park (“GBP”) is a unique, master-planned logistics and business precinct on 50 hectares of land
• • Upon full build-out, GBP will comprise logistics, technology and retail space with an end value of ~A$2 billion
• • 250,000 sqm of space has been leased or preleased

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• 500,000 sqm

Site area

Europe – Philippe Van der Beken

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Snapshot¹
7%
Assets under management A$6.8bn
Stabilised properties 135 13%
49%
4%
Investment GLA (sqm) 5.2m
1%
Occupancy 98% 2%
Managed Partnerships 2
2%
People 199
18%
1%
1. As at 31 March 2018
3%
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Snapshot¹
Assets under management	A$6.8bn
Stabilised properties	135
Investment GLA (sqm)	5.2m
Occupancy	98%
Managed Partnerships	2
People	199

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Europe – Philippe Van der Beken

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Market + Port of Hamburg, Germany
Investment type + Development
Strategy + Development of pre-committed logistics warehouse
+ Within a 5 km proximity range to Hamburg CBD, the second
largest city in Germany (1.7 million inhabitants)
Location
+ Located in the port of Hamburg, one of the world’s most high
performing ports (~8.8 million TEU, 43 km of quay walls)
+ The development project will be an urban logistics centre, pre-
leased to Amazon for a fixed term
Background and
+ Amazon will use the facility to provide parcel delivery services
status
(i.e. same-day delivery) to the Hamburg metropolitan area
+ The estate is developed on a 1.8 hectare leasehold land site
Site area + 18,376 sqm
Net lettable area + 9,472 sqm
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United Kingdom – Charles Crossland

Snapshot¹
Assets under management	A$0.9bn
Stabilised properties	7
Investment GLA (sqm)	0.2m
Occupancy	86%
Managed Partnerships	2
People	42

1. As at 31 March 2018

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South East
Midlands
North
3%
60%
37%
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United Kingdom – Charles Crossland

Market + Midlands, United Kingdom

• • Development / investment properties

Investment type

• Development of 2 buildings, one speculative and one pre-let

Strategy

• • Coventry, UK

• Located 20 miles east of Birmingham + Prime logistics location in the heart of the midlands region, close to the M6 motorway providing access north and south

Location

• • 466,920 sqft pre-let to Amazon

Background and status

• • 135,000 sqft speculative building let to Jaguar Land Rover in February 2018
• • Combined end value of £80m

• 150,000 sqm

Site area

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Net lettable area

• 56,000 sqm

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North America – Anthony Rozic

	Snapshot¹
	Assets under management	A$1.6bn
	Stabilised properties	7
	Investment GLA (sqm)	0.5m
	Occupancy	100%			9%
	Managed Partnerships	1
	People	44		90%
	1. As at 31 March 2018				1%

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North America – Anthony Rozic

Market + Los Angeles – Mid Counties

• • Value add opportunity to modernize property

Investment type

• • Reposition and lease estate or individual buildings and trailer parking

Strategy parking + 20 miles from Los Angeles International Airport and approximately 18 miles from the Port of Los Angeles / Long Location Beach + Within a nine mile radius, the property has access to seven major arterial freeways located in the LA Basin

• • Acquired from Safeway with two-year leaseback + Pre-leased to Damco (Maersk) in April 2018, prior to expiry of the Safeway lease

Background and status

• • Long-term multi-phase development opportunity
• • 78.2 acres

Site area Net lettable area

• • 989,809 sqft warehouse space + 18 acres trailer parking

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North America – Anthony Rozic

Market + Los Angeles – San Gabriel Valley Investment Type + Development

• Redevelopment – planned two building logistics facility

Strategy + Redevelopment – planned two building logistics facility + Located 20 miles from the Ports and 8 miles from downtown Location Los Angeles, the site is positioned in El Monte’s industrial zone + Site acquired from Safeway with 2 year leaseback Background and + Large scale infill multi phased development of two buildings Status + Strong pre-leasing enquiry across both buildings Site Area + 55 acres Net Lettable Area + 1.2m sqft

• 1.2m sqft

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Brazil – Cesar Nasser

Snapshot¹
Assets under management	A$0.3bn
Stabilised properties	4
Investment GLA (sqm)	0.3m
Occupancy	71%
Managed Partnerships	1
People	28

1. As at 31 March 2018

16%

21%

63%

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Brazil – Cesar Nasser

Market + São Paulo, São Bernardo do Campo

• • Development

Investment type

• Acquisition of well-located infill sites, with rezoning potential in the long term. Situated in low vacancy regions, with low land Strategy availability (high barrier to entry) + Partnership established

• The land is 20 km from São Paulo downtown, 35 km from Santos Port (South America´s most important port) Location + The ABCD region is strategically located close to Imigrantes Highway, Anchieta Highway and the Ring Road

• • Site acquired in 2016. The property will be transferred to the Partnership as part of the seed portfolio

Background and status

• • Construction progress is advanced at 93%. Project completion expected in July 2018
• • Strong enquiry from national and multinational customers for leasing

• 64,685 sqm

Site area

• 26,911 sqm

Net lettable area

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Thank you

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