GPT GROUP — Annual Report 2004

Jan 28, 2004

Annual Financial Report General Property Trust and its Controlled Entities

31 December 2003

ABN 58 071 755 609

Directors' Report

The directors of GPT Management Limited, the Responsible Entity of General Property Trust and GPT Split Trust, present their report together with the financial reports of General Property Trust and GPT Split Trust for the financial year ended 31 December 2003 and the Audit Reports thereon.

Directors

The following persons were directors of GPT Management Limited during the financial year:

Richard Longes (Chairman) Peter Joseph (appointed on 30 April 2003) Ken Moss Elizabeth Nosworthy

Trust

William Caims (retired on 30 April 2003) Malcolm Latham Rrigo Norrie David Ross (retired on 31 December 2003)

General Property Trust (GPT) GPT comprises General Property Trust (Parent Entity), its controlled entities and joint ownership vehicles as disclosed in Note 19 to the consolidated financial statements.

GPT Solit Trust The Trust comprises GPT Split Trust.

Principal Activity

The principal activity of GPT is to invest in investment properties.

The principal activity of GPT Solit Trust is to invest in GPT units.

Review of Operations and Changes in the State of Affairs

Financial Results

GPT

The operating result of GPT for the financial year ended 31 December 2003 is a profit of \$420.2 million (Dec 2002: \$386.1 million)

GPT Split Trust

The operating result of GPT Split Trust for the financial year ended 31 December 2003 is a profit of \$4,717 thousand (Dec 2002: \$5.215 thousand).

Earnings per Unit

GPT

The earnings per unit (before losses on disposal of properties) for the financial year ended 31 December 2003 was 21.6 cents (Dec 2002: 20.4 cents).

During the financial year, GPT acquired a 25% interest in 1 Farrer Place in Sydney, the Epping Homemaker Centre in Victoria, a 50% interest in the Austrak Business Park at Somerton in Victoria, Quad 3 land at Homebush Bay, a site adjoining Homemaker City Castle Hill, a 49% interest in two joint venture companies to develop residential communities at Rouse Hill in NSW and Twin Waters in Queensland, 132 and 142 Pacific Highway Charlestown and 557 High Street Penrith.

In April 2003, unitholders approved a special resolution to amend GPT's constitution. The resolution related to the adoption of International Accounting Standards in January 2005 and gives the Responsible Entity more flexibility in determining the amount of income to be distributed to Unitholders each quarter. In the opinion of the directors, there were no other significant changes to the state of affairs of GPT and GPT Split Trust ('Trusts') that occurred during the financial year under review.

GPT Split Trust

The earnings per unit for the financial year ended 31 December 2003 was 18.8 cents per Income unit (Dec 2002: 18.6 cents) and 2.4 cents per Growth unit (Dec 2002: 1.8 cents).

Distributions

GPT

The Responsible Entity has determined the payment of a distribution for the financial year ended 31 December 2003 of 21.2 cents per unit (Dec 2002: 20.4 cents).

GPT Split Trust

The Responsible Entity has determined the payment of a distribution for the financial year ended 31 December 2003 of 18.8 cents per Income unit (Dec 2002: 18.6 cents) and 2.4 cents per Growth unit (Dec 2002: 1.8 cents).

Events Subsequent to Balance Date

The directors are not aware of any matter or circumstance occurring since the end of the financial year not otherwise dealt with in this report or accounts that has significantly or may significantly affect the operations of the Trusts, the results of their operations or the state of affairs of the Trusts in subsequent financial vears.

Directors' Benefits

No director of the Responsible Entity has received or become entitled to receive any benefit from the Trusts during the financial year by reason of a contract made by the Responsible Entity or a related corporation with the director or with a firm of which the director is a member, or with an entity in which the director has a substantial financial interest.

Indemnification and Insurance of Officers

No insurance premiums are paid out of the assets of the Trusts for insurance cover provided to the Responsible Entity or the auditors of the Trusts. So long as the officers of the Responsible Entity act in accordance with the Trust Deeds and the Law, the Responsible Entity remains fully indemnified out of the assets of the Trusts against any losses incurred while acting on behalf of Trusts. The auditors are in no way indemnified out of the assets of the Trusts.

Rounding of Amounts

GPT

The amounts disclosed in the Directors' Report have been prepared in accordance with Class Order 98/0100 issued by the Australian Securities & Investments Commission, pursuant to which, unless otherwise indicated, the amounts in the Directors' Report have been rounded to the nearest tenth of a million dollars.

GPT Split Trust

The amounts disclosed in the Directors' Report have been prepared in accordance with Class Order 98/0100 issued by the Australian Securities & Investments Commission, pursuant to which, unless otherwise indicated, the amounts in the Directors' Report have been rounded to the nearest thousand dollars.

Environmental Regulation

The directors are satisfied that there are no significant issues that currently have an impact on the Trusts. A report on environmental initiatives in each of GPT's property portfolios is found elsewhere in the Annual Report.

Interests in Trusts

The movement in units in the Trusts during the year is set out below

	31 Dec 2003	31 Dec 2002
GPT
Units issued during the year	$\overline{a}$	82.661.979
Units redeemed during the year	$\overline{r}$
Units on issue at year end	1,949,716,610	1.949.716.610
GPT Split Trust Units
Units issued during the year	$\overline{r}$	432.374
Units redeemed during the year	(503, 463)	(6,940,540)
Units on issue at year end	22.109.712	22.613.175

Value of Assets

GPT

The value of GPT's assets as at 31 December 2003 is \$7,695.1 million (Dec 2002: \$6,696.6 million), derived on the basis set out in Note 1 to the financial statements.

GPT Solit Trust

The value of GPT Split Trust's assets as at 31 December 2003 is \$61,554 thousand (Dec 2002: \$59,970 thousand), derived on the basis set out in Note 1 to the financial statements.

Fees Paid to and Interests Held in the Trusts by the Responsible Entity

GPT

Fees paid to the Responsible Entity and its associates out of GPT property during the financial year are disclosed in Note 3 to the financial statements. No fees were paid out of GPT to the directors of the Responsible Entity during the financial year.

GPT Split Trust

No Responsible Entity fees have been charged against GPT Split Trust during the financial year as disclosed in Note 7 to the financial statements. No fees were paid out of GPT Split Trust to the directors of the Responsible Entity during the financial year.

	31 Dec 2003	31 Dec 2002
Units held by GPT Management Limited in GPT Split
Trust	1.000	1.000

Likely Developments and Expected Results of Operations

Further information on likely developments in the operation of the Trusts and the expected results of those operations have not been included in this report because the Responsible Entity believes it would be likely to result in unreasonable prejudice to the Trusts.

Directors' Interests

The table below shows the relevant interests of each director in GPT and GPT Split Trust

	GPT Units held	GPT Split Trust Income Units held	GPT Split Trust Growth Units held
Richard Longes	14.724	$\mathbf{r}$	$\sim$
William Caims (retired on 30 April 2003)	44,919	$\mathbf{v}$	State
Peter Joseph (appointed on 30 April 2003)		w	$\sim$
Malcolm Latham	13,195	$\mathbf{v}$	$\mathbf{w}$
Ken Moss	25,000	w.	$\sim$
Brian Norris	4.097	$\mathbf{v}$	$\mathbf{w}$
Elizabeth Nosworthy	5,000	$\mathbf{v}$	m.
David Ross (retired on 31 December 2003)

Dated at SYDNEY this 28th day of January, 2004

Signed in accordance with a resolution of the directors.

Director

Director

Statements of Financial Performance Year ended 31 December 2003

		Consolidated		GPT
	Note	31 Dec 2003 \$m	31 Dec 2002 \$m	31 Dec 2003 \$m	31 Dec 2002 \$m
Statements of Financial Performance
Revenue
Rents		605.9	568.5	288.3	266.2
Interest - Joint venture investment arrangements		4.5	9.4	4.5	9.4
Interest - Cash and short term money market securities		5.0	3.5	3.2	1.7
Proceeds on disposal of units in listed property trust		41.2	$\ddot{\phantom{0}}$	41.2	÷
Proceeds on disposal of properties		÷	187.3		176.0
Distributions from controlled entities and associates Share of net profits of associates	19	$\overline{a}$ 63.7	$\overline{a}$ 59.0	298.3 ÷	279.0
Other Income		1.3	$\ddot{\phantom{0}}$	1.3	÷ $\cdot$
Revenue		721.6	827.7	636.8	732.3
Expenses
Rates, taxes and other property outgoings		138.2 9.1	128.9 9.4	67.8 4.4	61.9 4.8
Repairs and maintenance Provision for doubtful debts		0.5	0.6	0.5	0.2
Audit and accounting fees	3	0.8	0.6	0.8	0.6
Borrowing costs		80.2	70.1	80.2	69.1
Responsible Entity's fee	3	25.6	33.9	16.5	23.2
Book value of units in listed property trust		41.2	$\ddot{\phantom{a}}$	41.2	÷
Book value of property investments sold		$\blacksquare$	192.9	÷	181.6
Other expenses		5.8	5.2	5.2	4.8
Expenses		301.4	441.6	216.6	346.2
Net Operating Income		420.2	386.1	420.2	386.1
Increase in asset revaluation reserve Total revenues, expenses and valuation adjustments attributable	15	235.0	33.5	235.0	33.5
to members of the parent entity recognised directly in equity		235.0	33.5	235.0	33.5
Total changes in equity other than those resulting from transactions with unitholders as owners		655.2	419.6	655.2	419.6
		Cents	Cents
Basic earnings per unit after losses on disposal of properties	18	21.6	20.1
Basic earnings per unit before losses on disposal of properties	18	21.6	20.4

The above Statements of Financial Performance should be read in conjunction with the accompanying notes.

		\$m	Sm.	\$m	\$m
Distribution
Net Operating Income		420.2	386.1	420.2	386.1
Undistributed income at the beginning of the financial year		0.7	0.5	0.7	0.5
Transfer from reserve			5.6	$\mathbf{r}$	5.6
Total available for distribution		420.9	392.2	420.9	392.2
Distribution paid and payable	2	(413.3)	(391.5)	(413.3)	(391.5)
Undistributed income at the end of the financial year		7.6	0.7	7.6	0.7

General Property Trust and its Controlled Entities

Statements of Financial Position As at 31 December 2003

			Consolidated	GPT
		31 Dec 2003	31 Dec 2002	31 Dec 2003	31 Dec 2002
	Note	$\mathfrak{sm}$	\$m	\$m\$	\$m
Current Assets
Cash		44.0	45.6	42.5	40.6
Receivables	4	46.0	39.7	20.9	13.2
Other	5	14.6	13.2	10.3	11.0
		104.6	98.5	73.7	64.8
Non-current Assets
Investment properties	6	7,489.8	6,528.1	7,474.3	6,491.6
Other financial assets	8	100.7	70.0	100.7	70.0
		7,590.5	6,598.1	7,575.0	6,561.6
Total Assets		7,695.1	6,696.6	7,648.7	6,626.4
Current Liabilities
Payables	9	147.3	160.6	100.9	90.4
Interest bearing liabilities	10	775.0	356.0	775.0	356.0
Provisions	11	105.3	101.4	105.3	101.4
		1,027.6	618.0	981.2	547.8
Non-current Liabilities
Interest bearing liabilities	12	1,352.0	1,005.0	1,352.0	1,005.0
		1,352.0	1,005.0	1,352.0	1,005.0
Total Liabilities		2,379.6	1,623.0	2,333.2	1,552.8
Net Assets		5,315.5	5,073.6	5,315.5	5,073.6
Equity
Contributed equity	13	4,400.8	4,400.8	4,400.8	4,400.8
Asset revaluation reserve	15	907.1	672.1	907.1	672.1
Undistributed income	15	7.6	0.7	7.6	0.7
Total Equity	16	5,315.5	5,073.6	5,315.5	5,073.6

Statements of Cash Flows Year ended 31 December 2003

			Consolidated	GPT
	Note	31 Dec 2003	31 Dec 2002	31 Dec 2003	31 Dec 2002
		\$m	\$m	\$m	\$m\$
Cash flows from operating activities
Cash receipts in the course of operations		610.2	579.3	309.6	284.0
Cash payments in the course of operations		(186.7)	(186.1)	(93.8)	(105.0)
Interest received		14.4	14.5	7.6	13.3
Distributions received from controlled entities			L,	234.6	220.0
Distributions received from associates		56.3	62.5	56.3	62.5
		494.2	470.2	514.3	474.8
Borrowing costs		(97.5)	(75.9)	(97.5)	(74.8)
Net cash inflow from operating activities	17	396.7	394.3	416.8	400.0
Cash flows from investing activities
Payments for property investments		(724.2)	(752.2)	(147.6)	(446.5)
Proceeds on disposal of property investments			187.3	$\overline{a}$	176.0
(Increase)/decrease in property deposits		(4.6)	235.9	(4.6)	235.9
(Increase) in other financial assets		(26.1)		(26.1)	÷
Investments in controlled entities and associates		$\qquad \qquad -$		(592.4)	(291.8)
Loan (to)/from controlled entities				(0.8)	(51.7)
Proceeds on disposal of units in listed property trust		41.2		41.2	۰
Investment in units in listed property trust Net cash outflow from investing activities		(41.2) (754.9)	$\overline{a}$ (329.0)	(41.2) (771.5)	(378.1)
Cash flows from financing activities
Net Short Term Notes (repaid)/issued		239.0	(189.0)	239.0	(375.0)
Commercial Bill Facilities (repaid)/issued Net Medium Term Notes issued		527.0	(173.0) 450.0	527.0	93.0 450.0
Distributions paid		(409.4)	(176.7)	(409.4)	(176.7)
Net cash inflow/(outflow) from financing activities		356.6	(88.7)	356.6	(8.7)
Net (decrease)/increase in cash		(1.6)	(23.4)	1.9	13.2
Cash at the beginning of the financial year		45.6	69.0	40.6	27.4
Cash at the end of the financial year	17	44.0	45.6	42.5	40.6
Non-cash financing and investing activities	17		206.8		206.8

Notes to Financial Statements Year ended 31 December 2003

Summary of accounting policies $\mathbf{A}$

(a) Basis of preparation

This general purpose financial report for the financial year ended 31 December 2003 has been prepared in accordance with the Trust Constitution. Accounting Standards, other mandatory professional reporting requirements (Urgent Issues Group Consensus Views), other authoritative pronouncements of the Australian Accounting Standards Board, and the Corporations Act 2001 in Australia. It is prepared on the basis of the going concern and historical cost conventions and has not been adjusted to take account of either changes in the general purchasing power of the dollar or changes in the values of specific assets, except to the extent that General Property Trust ("GPT") property investments have been revalued. The accounting policies adopted are consistent with those of the previous year unless otherwise specified. Comparative information has been reclassified where appropriate to enhance comparability.

(b) Principles of consolidation

The consolidated Financial Statements incorporate all the assets, liabilities and net operating results of the controlled entities. GPT and its controlled entities together are referred to in this Financial Report as the Trust. The effects of all transactions between controlled entities in the Trust have been eliminated in full.

Certain property investments are held via joint ownership arrangements (refer Note 23). These joint ownership arrangements include the ownership of units in single purpose unlisted trusts over which GPT exercises significant influence but does not control ('Associates').

The Trust has adopted the equity method of accounting for its property investments held via Associates in accordance with Accounting Standard AASB 1016: Accounting for Investments in Associates. The Responsible Entity believes that including this information in the Trust Investment Properties note (Note 6) appropriately reflects the nature and substance of the Trust's operations.

(c) Accounting for acquisitions

On the acquisition of property trusts, the fair value of the consideration is compared with the fair value of the assets acquired. Any discount or goodwill arising on acquisition is accounted for in accordance with AASB 1013: Accounting for Goodwill.

(d) Investment properties

The Trust Compliance Plan requires that all Trust property investments be valued at intervals of not more than three years and that such valuations be reflected in the Financial Report of the Trust. It is the policy of the Responsible Entity to review the carrying value of each property every six months. Independent valuations of the individual investments are carried out each three years in accordance with the Corporations Act 2001 and the Trust Constitution, or earlier where the Responsible Entity believes there may be a material change in the carrying value of the property.

A revaluation increment is credited directly to the asset revaluation reserve, unless it is reversing a previous decrement charged as an expense in the Statements of Financial Performance in respect of that same class of assets, in which case the increment is credited to the Statements of Financial Performance

A revaluation decrement is recognised as an expense in the Statements of Financial Performance, unless it is reversing a revaluation increment previously credited to, and still included in the balance of, the asset revaluation reserve in respect of that same class of assets, in which case it is debited directly to the asset revaluation reserve.

Some property investments are held through the ownership of units in single purpose unlisted trusts where GPT exerts significant influence but does not have a controlling interest. The Trust has adopted the equity method for these Associates (refer Note 1(b)). The property and other property related net assets of the Associates have been disclosed separately in Note 6.

Interests held by GPT in controlled trusts and associated trusts are brought to account at valuation based on the net tangible asset backing at the end of each quarter.

Land and buildings have the function of an investment and are regarded as a composite asset. The applicable Accounting Standards do not require that investment properties be depreciated. Accordingly, the buildings and any component thereof (including plant and equipment) are not depreciated.

Expenses capitalised to properties may include the cost of acquisition, additions, refurbishments, redevelopments, borrowing costs and fees incurred.

Summary of accounting policies (Continued) $\blacktriangleleft$

(e) Financial instruments

Bank bill and money market investments are reported at historic cost. As it is the intention to hold these instruments to maturity they are not revalued to market. Interest accrued at balance date is included in the accounts as a receivable. Interest rate swaps may be entered into to protect the Trust from variable interest rates. These transactions are accounted for on an accruals basis over the life of the facility that they are hedging. The Trust has classified as current liabilities short term note borrowings and medium term notes expiring within one year. notwithstanding that the Trust may hedge the interest rate exposure beyond one year and the fact that the Trust maintains stand-by facilities to provide liquidity backup for the short term/medium term note programme as described in Note 20.

(f) Revenue

Revenue from rents and interest is brought to account on an accruats basis. Revenue not received at balance date is included in the accounts as a receivable. The Trust's proportionate share of net operating results of Associates is included in the net income available for distribution when earned. Such income has been separately disclosed in the Statements of Financial Performance.

(g) Expenditure

Expenditure, including rates, taxes, interest and other outgoings is brought to account on an accruals basis.

(h) Income tax

Under current tax legislation the Trust is not liable for income tax, provided its taxable income and taxable realised gains are fully distributed to Unitholders each year.

(i) Cash flows

For the purposes of the Statements of Cash Flows, cash includes cash at bank, deposits at call and short term money market securities which are readily converted into cash.

(i) Distributions

Distributions are paid to unitholders each quarter. Provision is made for the amount of any distribution declared, determined or publicly recommended by the directors on or before the end of the financial year but not distributed at balance date.

(k) Borrowing costs

Borrowing costs are recognised as expenses in the period in which they are incurred, except where they are included in costs of qualifying assets - refer note (d).

The capitalisation rate used to determine the amount of borrowing costs to be capitalised is the weighted average interest rate applicable to the entity's outstanding borrowings during the year, in this case 6,78% (2002 - 6,80%)

Borrowing costs include:

• Interest on short term and long term borrowings.
• Amortisation of discounts or premiums relating to borrowings, and
• Amortisation of ancillary costs incurred in connection with the arrangement of borrowings.

(I) Rounding

The Financial Report of the Trust has been prepared in accordance with Class Order 98/0100 issued by the Australian Securities & Investments Commission, relating to the 'rounding off' of amounts in the Financial Report to the nearest tenth of a million dollars, unless otherwise stated. Amounts have been rounded off in the Financial Report in accordance with that Class Order.

	Consolidated		GPT
	31 Dec 2003	31 Dec 2002		31 Dec 2002
	3m	\$m	\$m	\$m
2. Distributions
In respect of the six months ended 30 June 2003
Distribution of 5.2 cents per unit paid on 23 May 2003. (22 May 2002: 5.0 cents)	101.4	94.5	101.4	94.5
Distribution of 5.3 cents per unit paid on 25 Aug 2003 (21 Aug 2002: 5.1 cents)	103.3	97.3	103.3	97.3
Distribution for the six months ended 30 June 2003. 10.5 cents per unit (30 Jun 2002: 10.1 cents).	204.7	191.8	204.7	191.8
In respect of the six months ended 31 December 2003
Distribution of 5.3 cents per unit paid on 21 Nov 2003 (20 Nov 2002: 5.1 cents) Distribution of 5.4 cents per unit payable on 23 Feb 2004	103.3	98.3	103.3	98.3
(24 Feb 2003: 5.2 cents)	105.3	101.4	105.3	101.4
Distribution for the six months ended 31 December 2003 10.7 cents per unit (31 Dec 2002: 10.3 cents)	208.6	199.7	208.6	199.7
Distribution for the year ended 31 December 2003 21.2 cents per unit (31 Dec 2002: 20.4 cents)	413.3	391.5	413.3	391.5
Undistributed income at 31 December	7.6	0.7	7.6	0.7
	\$'000	\$'000	\$'000	\$'000
3. Expenses
Expenses have been arrived at after charging the following items:
Auditors' remuneration: Auditing the financial report Other audit related work Total audit and audit related work Other assurance services	579.4 155.9 735.3 74.0	474.6 157.2 631.8	568.8 154.2 723.0 74.0	455.2 146.7 601.9
Total auditors' remuneration	809.3	631.8	797.0	601.9

Responsible Entity's fee	25.627	33.928.4	.458.5 16	2478 つつ .

From 1 January 2003, the base management fee payable by GPT has been reduced from 0.55% to 0.40% per annum of gross assets and a
performance component has been introduced. The performance component, if applicable, is 5% of Management Limited will receive all or part of the performance fee so that earnings per unit for each six month period is not less than the earnings per unit for the previous six month period. Based on GPT's performance for the twelve months to 31 December 2003, there is no performance fee payable in respect of the twelve months to 31 December 2003.

	Consolidated		GPT
	31 Dec 2003 31 Dec 2002		31 Dec 2003	31 Dec 2002
	\$m	\$m\$	3m	\$m
4. Receivables
Trade debtors	27.2	24.3	3.5	2.0
Provision for doubtful debts	(1.2)	(1.2)	(1.0)	(0.7)
	26.0	23.1	2.5	1.3
Distributions receivable from unlisted controlled trusts		$\overline{a}$	1.1	0.3
Distributions receivable from associates	10.6	3.1	10.6	3.1
Other debtors	9.4	13.5	0.4	1.4
Loans to controlled entities			6.3	7.1
	46.0	39.7	20.9	13.2
5. Other current assets
Prepayments	14.6	13.2	10.3	11.0
6. Investment properties
Retail	3,723.2	3,265.9	2,051.0	1,862.7
Office	2,946.7	2.550.8	748.5	742.9
Hotel & Tourism	530.1	507.3
Industrial	289.8	204.1	289.8	204.1
	7,489.8	6.528.1	3,089.3	2,809.7
The mixed class of assets has been allocated in the table above as follows:
Melbourne Central : 50% Retail (\$295.6 m) and 50% Office (\$290.2 m) (Dec 2002: 42% Retail and 58% Office)
Due to the departure of Daimaru and the redevelopment of Melbourne Central, the allocation of the value was reviewed.
Brisbane Transit Centre: 83% Office and 17% Hotel & Tourism
Unlisted units in controlled trusts
GEM Retail Property Trust			1.253.1	1.105.7

GEM Retail Property Trust			1.253.1	1,105.7
GEM Commercial Property Trust			1,374.3	1,258.4
GPT Hotel Trust			511.2	479.3
Melbourne Central Unit Trust			530.0	429.5
			3,668.6	3,272.9
Unlisted shares in corporations
GPT Pty Limited			0.1	0.1
Melbourne Central Holdings Pty Limited			47.7	47.7
			47.8	47.8
Investments in associates
Erina Property Trust			111.1	80.3
Horton Trust			13.4	13.3
1 Farrer Place Trust			257.6	۰
2 Park Street Trust			286.5	267.6
			668.6	361.2
	7,489.8	6.528.1	7,474.3	6,491.6

Reconciliation
Reconcillations of the carrying amounts of investment properties at the
beginning and end of the current and previous financial year are set out below.

Carrying amount at start of the financial year	6.528.1	5.904.2	6.491.6	5.882.4
Additions	726.7	783.4	747.7	757.3
Disposals	$\overline{\phantom{0}}$	(193.0)	۰	(181.6)
Net increase in revaluation of investment	235.0	33.5	235.0	33.5
Carrying amount at end of the financial year	$-489.6$	6.528.1	7.474.3	6.491.6

General Property Trust and its Controlled Entities

Notes to Financial Statements

6. Investment properties (Continued)

Name	Ownership % (1)	Acquisition Date	Acquisition Price \$m	Total Cost including Additions \$m	Date of Latest Valuation	Independent Valuer	Latest Independent Valuation \$m	Additions Since Valuation \$m	Book Value 31 Dec 2003 \$m $\langle 5 \rangle$
RETAIL
Bonner House	100	Oct 2001	9.3	9.3	Mar 2003	Knight Frank	11.0		11.0
ACT	Leasehold					KL Goddard, FAPI
Borec House	100	Juli 2002	10.6	10.7	Sep 2003	CB Richard Ellis	10.8	l,	10.8
NSW						M Steur, AAPE
Casuarina Square	100	Oct 1973	4.5	143.4	Sep 2002	Knight Frank	264.0	2.4	266.4
NΤ						KL Goddard, FAPI
Charlestown Square	100	Dec 1977	7.3	177.0	Sep 2003	Knight Frank	325.0	0.9	326.9
NSW						KL Goddard, FAPI
Pacific Highway, Charlestown	100	Oct 2002	7.3	7.1	Sep 2003	Knight Frank	7.0		7.0
NSW		Jul 2003	5.3	5.3		KL Goddard, FAPI			5.3
Dandenong Plaza	100	Dec 1993	60.2	190.8	Sep 2003	FPDSavills (NSW)	205.0	0.1	205.1
VIC Erina Fair	33.3. Freehold	Dec 1999 Jun 1992	60.3 55.1	60.3 243.1	Sep 2003	AD Johnston, AAPI Knight Frank			223.4
NSW	16.7, Units in Trust					KL Goddard, FAPI			111.1 (3)
							323.7	10.8	334.5
Penrith Plaza including Cinemas	100	Jun 1971	16.7	419.2	Sep 2003	CB Richard Ellis	505.0	1.2	506.2
NSW		Oct 2002	362.9			M Steur, AAPI		Refer Notes 6 and 8
		Apr 1998	17.4
High Street, Penrith	100	Nov 2002	5.2	6.1	Sep 2003	CB Richard Ellis	6.1		6.1
NSW		Jan 2003	0.8			M Steur, AAPE
Riley Square	100	Jun 1994	1.6	17.2	Sep 2003	CB Richard Ellis	16.2	÷	15.2
NSW Sunshine Plaza	50	Dec 1992	32.8	49.9	Sep 2003	M Steur, AAPE FPDSavills (NSW)	82.0(2)		82.0
QLD	Freehold, JVIA					A Johnston, AAPI
Plaza Parade	50	Jun 1999	4.7	11.7	Sep 2003	FPDSavills (NSW)	10.5		10.5
QLD						A Johnston, AAPI
Horton Parade	50	Jun 1998	3.8	7.6	Sep 2003	FPDSavills (NSW)	7.0		$7.0 - (3)$
QLD	Units in Trust					A Johnston, AAPI
Maroochydore Superstore		Feb 1999	6.6	5.6	Sep 2003	FPDSavills (NSW)	6.0		$6.0$ (3)
Plaza QLD				13.1		A Johnston, AAPI			13.0
Woden Plaza	100		74.8		Mar 2003		375.0		$0.4$ (3) 376.1
ACT	Leasehold	Feb 1986		246.6		Knight Frank KL Goddard, FAPI		1.1
General Property Trust									2,176.5
Carlingford Court NSW	100	Jul 1996	80.1	136.5	Mar 2002	Knight Frank KL Goddard, FAPI	133.0	2.1	136.1
Chimside Park	100	Juli 1996	80.5	136.3	Mar 2003	JLL Advisory	132.0	0.3	132.3
VIC						B Sweeney, AAP!
Wollongong Central	100	Jul 1998	54.0	109.7	Sep 2003	Jones Lang LaSalle	157.0	0.5	157.5
NSW		Oct 1998	34.8			JK Dillon, AAPI
Florest Forum	100	Jul 1996	33.3	86.8	Jun 2002	FPDSavills	72.4	23.0	95.4
WA.						AD Johnston, AAPI
Forestway Shopping Centre	100	Jul 1996	27.0	39.3	Sep 2001	Knight Frank	39.0	9.8	48.8
NSW						KL Goddard, FAPI
Macarthur Square	50	Dec 1999	135.0	141.8	Sep 2003	Jones Lang LaSalle	165.0	2.5	167.5
NSW						D McLennan, AAPI JLL Advisory
Parkmore Shopping Centre	100	Juli 1996	120.0	130.3	Mar 2001		95.0	6.1	101.1
VIC. Homemaker City Aspley	100	Nov 2001	43.2	44.1	Jun 2002	B Sweeney, AAP! JLL Capital Markets	43.6	0.8	44.3
QLD						WR Wiemann, AAPI
Homemaker City Bankstown	100	Nov 2001	38.5	39.3	Sep 2003	FPDSavills	44.0	0.2	44.2
NSW						AD Johnston, AAPI
Homemaker City Cannon Hill	100	Nov 2001	13.9	14.8	Sep 2003	Jones Lang LaSalle	15.7	0.2	16.9
QLD						J Apted, FAPI
Homemaker City Castle Hill	100	Nov 2001	25.4	35.2	Mar 2002	WK Wotton	26.5	9.8	36.3
NSW		Jan 2003	8.7			W Wolton, FAPI
Homemaker City Epping	100	Aug 2003	37.7	37.7			$\overline{a}$		37.7
VIC
Homemaker City Fortifude Valley	100	Dec 2001	7.2	31.2	Sep 2003	CB Richard Ellis	31.6	0.1	31.7
QLD						T Irving, AAPE

(1) Freehold, unless otherwise stated.

. . .
(2) Present value of termination right and land at latest valuation.
(3) Share of Associate's property assets. The value of the Trust's interest in the Associate's property assets is included in the valuation.

(4) Share of Associates other property related net assets which have been included as property (refer note 1(b))

(6) Properties that have been independently valued in the last twelve months are carried at that valuation, except where capital expenditure has been incurred subsequent to valuation. Properties on which such capital expenditure has been incurred and properties which have not been independently valued in the last subsequent to valuation. Properties on which such capital expendit twelve months are carried at Directors' valuation.

3VIA = Joint Venture Investment Arrangement

The basis of valuation of investment properties is fair value being the amounts for which the assets could be exchanged between willing parties in an arm's length fransaction.

General Property Trust and its Controlled Entities

Notes to Financial Statements

6. Investment properties (Continued)

Name	Ownership % (1)	Acquisition Date	Acquisition Price \$m	Total Cost including Additions \$47	Date of Latest Valuation	Independent Valuer	Latest Independent Valuation \$m	Additions Since Valuation \$m	Book Value 31 Dec 2003 \$m $\langle \mathbb{S} \rangle$
RETAIL (Continued)
Homemaker City Jindalee QLD	100	Nov 2001	38.7	40.3	Sep 2003	Jones Lang LaSalle J Apted, FAPI	47.6	0.2	47.8
Homemaker City Maribymong VIC	100	Nov 2001	35.5	35.8	Sep 2003	Knight Frank MJ Schuh, AAPI	47.3	L,	47.3
Homemaker City Moorabbin VIC	100	Jul 2002	33.3	33.4	$\overline{\phantom{a}}$		$\overline{\phantom{a}}$	÷,	33.4
Homemaker City Mt Gravatt QLD	100	Nov 2001	17.9	18.1	Mar 2002	JLL Capital Markets WR Wiemann, AAPI	19.4	0.2	19.6
IKEA Building, Prospect NSW	100	Nov 2001	6.9	6.9	Sep 2003	Colliers International A Graham, AAP!	6.5	$\overline{\phantom{a}}$	6.5
Homemaker City Springwood QLD	100	Nov 2001	15.7	16.0	Mar 2002	JLL Capital Markets WR Wiemann, AAPI	16.0	0.3	16.3
Homemaker City Underwood QLD	100	Nov 2001	10.5	10.6	Jun 2002	JLL Capital Markets WR Wiemann, AAPI	12.8	0.1	12.7
Homemaker City Windsor QLD	100	Nov 2001	20.0	20.2	Jun 2002	JLL Capital Markets CJ Chatwood, AAPI	20.6	0.2	20.7
GEM Retail Property Trust									1,262.1
Total Retail									3,427.6
OFFICE
Citigroup Centre NSW	50 Units in Trusts	Juli 2001 Dec 2001 $\left( d \right)$	51.2 212.4 0.8	268.3		Dec-03 FPDSavills (NSW) Pty Limited A Pannifex, FAPI
				268.3			287.5		$287.5$ (2) (1.5) (3)
1 Farrer Place NSW	50 Units in Trust	Dec-2003	263.6	257.6	$\bar{z}$	$\overline{\phantom{a}}$			267.6
Australia Square NSW	50	Sep 1981	42.5	132.8	Jun 2002	Colliers International W Doherty, AAPI	176.2	3.3	179.5
MLC Centre NSW	50	Apr 1987	233.5	312.6	Mar 2001	CB Richard Ellis (N2) S Fairfax, AAP!	298.5	8.3	306.8
Riverside Centre QLD	100	Apr 1984	250.7	295.7	Sep 2002	CB Richard Ellis (C) J Porter, FAPI	245.0	2.3	247.3
Black Ink House QLD	100	Apr 1984	9.1	15.5	Sep 2002	CB Richard Ellis (C) J Porter, FAPI	14.4		14.4
General Property Trust									1,292.1
179 Elizabeth Street NSW	100	Seo 1998	59.4	82.4	Sep 2003	FPDSavills A Pannifex FAPI	81.0	0.5	81.5
10 & 12 Mort Street ACT	100 Leasehold	Juli 1996	58.6	59.9	Dec 2003	Jones Lang LaSalle RJ Lawrie, AAPI	50.0	$\overline{\phantom{a}}$	50.0
530 Collins Street & 120 King Streef	100	Jul 1996	310.0	319.4	Sep 2003	Urbis RJ Scrivener, FAPI	320.0	0.2	320.2
VIC HSBC Centre NSW	100	Juli 1996	180.0	214.0	Mar 2001	Arthur Andersen	214.0	10.7	224.7
Darling Park Complex NSW	50 Units in Trusts	Jun 2000 Mar 2001	289.1 100.0	463.2		P Dempsey, FAPI
		96)	12.0	463.2	Apr 2003	Colliers International	465.0	1.6	466.6 (2)
The National, Stage 1	100	Feb 2002	7.4	119.4		W Doherty, AAPI		÷,	(1.9) (3) 119.4
Victoria Harbour, VIC The National, Stage 2	100	Feb 2002	6.3	81.6	$\overline{\phantom{a}}$	$\blacksquare$	$\overline{\phantom{a}}$	$\overline{\phantom{a}}$	81.5
Vicíoria Harbour, VIC
GEM Commercial Property Trust									1,322.0
Total Office									2,614.1

(1) Freehold, unless otherwise stated.

(2) Share of Associate's property assets. The value of the Trust's interest in the Associate's property assets is included in the valuation.

(3) Share of Associate's other property related net (liabilities) which have been included as property (refer Note 1(b)).

(4) Acquisition costs.

(5) Properties that have been independently valued in the last twelve months are carried at that valuation, except where capital expenditure has been incurred subsequent to valuation. Properties on which such capital expenditure has been incurred and properties which have not been independently valued in the last twelve months are carried at Directors' valuation.

The basis of valuation of investment properties is fair value being the amounts for which the assets could be exchanged between willing parties in an arm's fength transaction.

General Property Trust and its Controlled Entities Notes to Financial Statements

ns.

$50.4 - 22$

$0.7\,$

$\frac{1}{51.1}$

585.8

636.9

$249$

$82.0$

$15.5$

$15.8$

$8.1$

$16.1$

$57.1$

$\overline{500}$

10.8

$20.6$

289.8

289.8

$343.5$

8.0

358.5 $3.9 - 60$

$18.0$

$0.8\,$

$*44.9$

$(7.0)$ 46) $137.9$

$2.8 - (7)$

$7.0 - (3)$

6. Investment properties (Continued) Total Cost Date of Latest Artificans Acquisition Book Value including Independent Latesf Siece Name Ownership Acquisition Additions Valuation Independent Valuer Valuation 31 Dec 2003 Price Valuation % (1) .
Date $\mathsf{sm}$ $$431$ $\$$ in \$m $s_m$ MIYER Brisbane Transit Centre $\overline{50}$ $QLD$ Units in Trust Nov 1997 $42.6$ 46.6 Dec 2003 Colliers International Nov 1997 SR Andrew, FAPI Shares in Company $0.7$ $0.7$ $47.3$ $51.1$ $\overline{100}$ Melbourne Central Vic May 1999 410.2 Mar 2001 $17.1$ $3.5$ $\alpha$ 430.8 Sep 2001 Knight Frank 465.0 $120.8$ 559.1 JA Perillo, AAPI Total Mixed INDUSTRIAL Harvey Road $100$ May 1999 $24.9$ $24.9$ Mar 2002 JLL Capital Markets $24.9$ ÷. Kings Park NSW RJ Ewing, AAPI Part Citi-West Industrial Estate 100 Aug 1994 $60.0$ $89.3$ Mar 2003 FPDSavills $56.3$ $6.7$ Grieve Pde & Dohertys Road R Bowman, AAP Alfona North VIC Quad 1, Parkview Drive 100 Jun 2001 $5.5$ $15.5$ Homebush Bay NSW Leasehold Quad 2, Parkview Drive $\overline{100}$ Dec 2001 $\overline{2.3}$ $15.8$ Leasehold Homebush Bay NSW Quad 3, Parkview Drive 100 Mar 2003 $\overline{2.7}$ $8.1$ Homebush Bay NSW Leasehold 7 Parkview Drive May 2002 $16.1$ 100 $16.1$ Homebush Bay NSW Leasehold Austrak Business Park 50 Oct 2003 47.8 $57.1$ Somerfon VIC $580$ $\overline{100}$ $Q$ 11 Grand Ave Camellia May 1998 56.9 Sep 2003 Knight Frank $\overline{3.0}$ Camellia NSW WR Retallick, FAPI 15 Berry Street $\overline{100}$ Nov 2000 $0.0$ $10.0$ $10.8$ Sep 2003 Knight Frank Granville NSW WR Retallick, FAPI 19 Berry Street 100 Dec 2000 $\frac{1}{288}$ $18.9$ Sep 2003 Knight Frank $\overline{20.5}$ Granville NSW WR Retallick, FAPI General Property Trust Total Industrial HOTEL & TOURISM Avers Rock Resort $347.9$ Sep 2001 $\overline{100}$ Dec 1997 $231.9$ JLL Hotels NT Part feasehold MA Cooper, AAPE Shares in Company Sep-2003 8.0 $8.0$ 290.0 BB 5 Cape Tribulation Resorts $\overline{100}$ Mar 2002 $11.5$ 18.0 QLD Part leasehold $\overline{100}$ Wildman River Jun 2001 $0.5$ $0.8$ Part feasehold NT Four Points by Sheraton Hotel May 2000 $146.1$ Mar 2002 Colliers International 138.0 $\overline{8.9}$ 100 166.0 Sydney, NSW Leasehold R Mointosh, FAPI Security Deposit 161 Sussex St Pty Limifed Loan

$(0.5)$ (8) 40 Refer Note 6 Total Hotel & Tourism 521.4 7,489.8 Total Investment Properties

(1) Freehold, unless otherwise stated.

(2) Share of Associate's property assets. The value of the Trust's interest in the Associate's property assets is included in the valuation

(3) Regresed's load to Voyages Hotels & Resorts Pfy Limited for the purchase of plant and equipment

(4) Represents loan to Voyages Hotels & Resorts Pty Limited of \$3.9 million for working capital.

(5) Acquisition costs

(6) Security deposit held by GPT.

twelve months are carried at Directors' valuation.

(7) Loan to 161 Sussex Street for purchase of business assets. Undrawn finance facilities of 161 Sussex Street at balance date total \$1.2 million (GPT share).

(8) Share of 161 Sussex Street property related net liabilities which have been included as property (refer Note 1(b)).

(9) Properties that have been independently valued in the last twelve months are carried at that valuation, except where capital expenditure has been incurred subsequent to valuation. Properties on which such capital expenditure has been incurred and properties which have not been independently valued in the last

The basis of valuation of investment properties is fair value being the amounts for which the assets could be exchanged between willing parties in an arm's length transaction.

	Consolidated
31 Dec 2003	31 Dec 2002
sm	Sm

6. Investment properties (Continued)

Additions to existing investments

During the year ended 31 December 2003 the following additions were made to existing property investments:

Retail	98.4	130.9
Office	118.2	93.8
Mixed	98.1	19.5
Industrial	32.6	28.4
Hotel & Tourism	22.8	47.5
	370.1	320.1

Additions to property include capitalised interest on redevelopment of \$17.5 million using an interest rate of 6.78% (Dec 2002: \$12.6 million using 6.80%).

Malhourne Central

Daimaru vacated the centre in July 2002. Under the terms of the early lease cessation, the Trust received a cash sum equivalent to five years gross rent. Rental top up of \$16.6 million has been recognised during the year to December 2003. Construction commenced in November 2002 on the redevelopment of Melbourne Central. The total development cost is \$244.8 million with forecast completion in December 2004. A major expansion and refurbishment of the office tower lobby is also underway and scheduled to be completed in mid 2004 at a forecast cost of \$5.5 million.

Macarthur Souare

A Development Application was approved in December 2003 for the \$160 million (GPT's share \$80 million) expansion of Macarthur Square. Construction is expected to commence in mid 2004 and is programmed for completion in late 2005.

Penrith Plaza

A Development Application was lodged in October 2003 for the \$130 million expansion of Penrith Plaza. Construction is expected to commence in late 2004 and is programmed for completion in early 2006.

Frina Fair

The major expansion of Erina Fair was completed in November 2003. The final development cost was \$212.4 million (GPT's share \$106.2 million)

Chirnside Park

The foodhall remix which involved replacing Franklins with Aldi and associated specialty remixing was completed in May 2003. The final development cost was \$3.5 million.

Floreat Forum

The remixing and expansion of Floreat Forum was completed in August 2003. The final development cost was \$48.0 million.

Forestway Shopping Centre

Construction commenced in January 2003 on the \$4.7 million upgrade of Forestway Shopping Centre. The works involve the expansion of Woolworths, re-introduction of Franklins (opened September 2003), and specialty remixing. The works are forecast to be completed in early 2004

The National Stage 1 and Stage 2

Stage 1 of the new National Australia Bank ('NAB') 56,000 sqm office development in Docklands, Melbourne has achieved practical completion in October 2003, with stage 2 due for completion in mid 2004. The end cost of the development after enhancements agreed with the NAB is expected to be approximately \$242 million.

6. Investment properties (Continued)

11 Grand Avenue, Camellia

Work was completed on the \$9.7 million Stage 2 of this development in September 2003. A lease has been signed with Cassons over Unit 11B for 5,430 sqm. Unit 11A comprises approximatiev 7,000 sqm and is being marketed for lease.

Citiwest Industrial Park

Work was completed on the \$6.7 million development of the new facility for the Just Jeans group in December 2003, Just Jeans has signed a 10 year lease over the building

Avers Rock Resort

A number of projects were completed at the Resort during the year. These included the Salls in the Desert kitchen refurbishment at a cost of \$1.4 million, Winkiku Restaurant refurbishment at a cost of \$0.6 million and a \$1.7 million upgrade of the Outback Pioneer Hotel bathrooms. The only major capital project currently underway at Ayers Rock Resort is the reconstruction of Longitude 131, post its closure due to bush fire damage in October 2003. The cost of replacement of Longitude 131 is fully insured.

Australia Souare, Sydney

Major upgrade works to the public areas and to the Plaza Building at an estimated cost of \$12 million (GPT's share \$6 million) are underway and scheduled for completion in early 2004.

Cane Tribulation Resorts

In line with the acquisition strategy for this asset, refurbishment of the resort and infrastructure upgrades began in December 2002 and were completed in April 2003. The total cost of these works was \$6.2 million.

Purchase of Investments

1 Farrer Place, Sydney

In December 2003 GPT acquired a 25% interest in 1 Farrer Place, a premium grade office complex in the financial core of the CBD for \$253.6 million including acquisition costs. The complex includes the 64 level Governor Phillip Tower, the 41 level Governor Macquarie Tower and the Phillip Street Terraces.

Homemaker City Epping

GPT acquired the Epping Homemaker City in Victoria for \$37.7 million including acquisition costs in August 2003.

Austrak Business Park, Somerton, Victoria

GPT acquired a 50% interest in the Austrak Business Park at Somerton, Victoria in October 2003 for \$47.8 million including acquisition costs. The investment comprises 56,000 sqm of investment properties, an intermodal rail terminal and 56 hectares of serviced industrial land. GPT has entered into a joint venture with Austrak AFM Pty Ltd (owners of the other 50% interest) to develop the land. As part of the acquisition GPT were required to reimburse the vendor for site works undertaken post acquisition.

The Quad, Parkview Drive, Homebush Bay

The Quad 3 leasehold title was acquired in March 2003 for \$2.7 million including acquisition costs. Construction of the Quad 3 building commenced in July 2003 with the total development cost being \$13.7 million and forecast completion in June 2004.

Castle Hill land

GPT acquired a site adjoining the Homemaker City Castle Hill in NSW for \$8.7 million including acquisition costs in January 2003.

High Street Penrith

GPT acquired 557 High Street Penrith (shop 6), opposite Penrith Plaza, for \$0.8 million including acquisition costs in January 2003.

Pacific Highway, Charlestown

GPT acquired 132-138 Pacific Hwy, opposite Charlestown Square, for \$5.3 million including acquisition costs in July 2003.

6. Investment properties (Continued)

Joint venture investment arrangements

Penrith JVIA

The Joint venture investment arrangement ('JVIA") with ANZ Banking Group was terminated on 1 October 2002. The total cost to unwind the JVIA was \$362.9 million (gross of annual deposits) including incidental costs.

Sunshine Plaza

GPT and Australian Prime Property Fund Retail ('APPFR') entered into a JVIA with the Commonwealth Bank of Australia ('CBA') in 1994. Under the terms of the JVIA:

• (a) A ground lease has been granted to the CBA for land owned by GPT and APPFR.
• (b) GPT and APPFR make deposits with the CBA and receive a return on those deposits based on the income of the Centre. These deposits are repayable in 2006 or on termination of the ground lease or at its expiry.
• (c) GPT has a right to terminate the ground lease each year over a five year period commencing June 2002. However, each party must agree to the termination if exercised in 2002 or 2003. When the right is exercised a payment is made to CBA under a formula based on the valuation of the Centre at development completion (\$284 million) and termination date and the CBA will refund the deposits made by GPT. GPT's obligations in the JVIA are limited to its 50 percent share.

Other information

Avers Rock Resort

The property is owned by GPT. The hotel businesses are owned and operated by Voyages Hotels & Resorts Pty Limited, which is wholly owned by GPT Hotel Management Pty Limited. GPT has leased the resort to Voyages Hotels & Resorts Pty Limited. GPT Hotel Management Pty Limited is a company with A and B Class shares. The A Class shares of GPT Hotel Management Pty Limited carry only voting rights and they are owned by GPT Operating Company Trust on behalf of the unitholders of GPT. The B Class shares of GPT Hotel Management Pty Limited are owned by GPT and carry the income entitlement.

During the year, GPT invested \$8 million in GPT Hotel Management Pty Limited which in turn subscribed for additional equity in Voyages Hotels & Resorts Pty Limited. The equity investment was to ensure an appropriate level of capitalisation of Voyages and to assist it with its working capital needs.

Cape Tribulation Resorts

These properties are owned by GPT and leased to Voyages Hotel & Resorts Pty Limited

Four Points by Sheraton Hotel

The property is wholly owned by GPT. GPT also has a 40% interest in an associated company, 161 Sussex Street Pty Limited ('the Company') which leases and operates the hotel. Starwood Pacific Hotels Pty Limited ('Starwood'), a wholly owned subsidiary of Starwood Hotels and Resorts Worldwide Inc. owns the remaining 60% interest.

In May 2000, the Company leased the hotel from GPT for ten years, with the Company having an option to extend the lease for a further term of five years. After May 2005 the lease may be terminated by GPT if the hotel is sold. The Company has provided a security deposit of \$7.0 million

At the time of acquisition, GPT provided \$4.0 million by way of loan to the Company to fund its purchase of business assets, the payment of the security deposit and initial working capital requirements. Since acquisition GPT has invested an additional \$2.6 million in the Company. The Company has also repaid \$1.2 million of GPT's loan in previous years hence the loan balance at December 2003 is \$2.8 million.

General Property Trust and its Controlled Entities

Notes to Financial Statements

		Consolidated	GPT
	31 Dec 2003 $\mathfrak{sm}$	31 Dec 2002 \$m	31 Dec 2003 \$m	31 Dec 2002 \$m
7. Commitments
(a) Capital expenditure
At balance date capital expenditure approved but not provided for in the
Financial Report:
Directly held investment properties
Austrak Business Park, Somerton	5.6	$\blacksquare$	5.6	$\overline{\phantom{a}}$
Australia Square	5.2	0.3	5.2	0.3
Casuarina Square	0.7	1.4	0.7	1.4
Citi-West Industrial Park	3.0		3.0
Erina Fair	0.2	36.3	0.2	36.3
MLC Centre	4.6	6.1	4.6	6.1
Penrith Plaza	5.7	1.3	5.7	1.3
Plaza Parade	0.2	0.4	0.2	0.4
Quad 1 & 2		0.2		0.2
Quad 3	8.6	$\overline{a}$	8.6	$\overline{a}$
Riverside Centre	3.9	3.7	3.9	3.7
Sunshine Plaza	0.1	0.4	0.1	0.4
11 Grand Avenue, Carnellia	0.6		0.6
Woden	0.3	2.6	0.3	2.6
Other properties	2.9	2.2	2.9	2.2
Unlisted controlled entities
530 Collins St	0.8	1.2
Ayers Rock Resort	0.9	12.1
Cape Tribulation Resorts Chirnside Park		5.8 1.3
	59.5	160.8
The National Stages 1 & 2 Floreat Forum	1.1	15.1
Melbourne Central	124.5	219.4
Parkmore Shopping Centre	1.4	1.2
Wollongong Central	$\overline{a}$	0.1
Four Points by Sheraton Hotel		3.2
Other properties	6.5	1.5
Investments in associates
Darling Park and Darling Park Property Trust	4.3	2.4
Erina Property Trust	0.1	18.1	$\blacksquare$
Horton Trust	0.1	×
2 Park St Trust	2.1	$\tilde{\phantom{a}}$		$\overline{a}$
	242.9	497.1	41.6	54.9
Due within 1 year	241.3	379.7	40.0	54.9
Due between 1 and 5 years	1.6	117.4	1.6	$\overline{\phantom{a}}$
	242.9	4071	41 A	54.9

(b) Investments

At balance date deposit commitments existed in respect of interests in Joint Venture Investment Arrangements contracted but not provided for
in the Financial Report (refer Notes 6 and 8):

Sunshine Plaza
Due within 1 year	4		$\blacktriangle$ /	47
Due between 1 and 5 years	o r		9.0	13.8
	$-13.7$	18.5	イウ フ	18.5

(c) Operating leases

Estimated aggregate amount of operating lease expenditure agreed or contracted but not provided for in the Financial Report.
Due within 1 year		0.2
Due between 1 and 5 years	0.9	0.9	U.S	0 5
Due between 5 years and expiry date of leases	2.6	2.6	0.8	0.8

	Consolidated			GPT
	31 Dec 2003	31 Dec 2002	31 Dec 2003	31 Dec 2002
	\$m	\$m\$	3m	\$m
8. Other financial assets
Deposits
Deposits at cost - Sunshine Plaza	74.6	70.0	74.6	70.0
Masterplanned Urban Communites Lend Lease (Twin Waters) Pty Limited
Shares in associate	5.5		5.5
Loan	16.7		16.7
Lend Lease GPT (Rouse Hill) Pty Limited Shares in associate
Loan	1.0 2.9		1.0 2.9
Total Masterplanned Urban Communities	26.1		26.1
	100.7	70.0	100.7	70.0
Reconciliation Reconciliations of the carrying amounts of other financial assets at the beginning and end of the current and previous financial year are set out below.
Carrying amount at start of the financial year	70.0	305.9	70.0	305.9
Additions to Deposits	4.6	4.9	4.6	4.9
Additions to Masterplanned Urban Communities	26.1	ä,	26.1	ä,
Refunds - Penrith Plaza	ä,	(240.8)	A	(240.8)
Carrying amount at end of the financial year	100.7	70.0	100.7	70.0

Deposits

The Penrith Plaza joint venture investment arrangement ('JVIA') with ANZ Banking Group was terminated on 1 October 2002. The Penrith equipment lease arrangement with Oxley Finance Pty Limited was terminated in June 2003.

Masterplanned Urban Communities

Rouse Hill Regional Centre

In October 2003, a joint venture company owned 49% by GPT and 51% by Lend Lease entered into an agreement with the Department of Infrastructure, Planning and Natural Resources (DIPNR) and Landcom to jointly develop, under a land management model, a regional centre at Rouse Hill. The project includes over 1500 residential lots, a mixed use Town Centre and supporting infrastructure. GPT will develop and own the Town Centre, consisting of a retail market place, home living retail, commercial and learning space.

Twin Waters Resort

In October 2003, a joint venture company owned 49% by GPT and 51% by Lend Lease acquired the Twin Waters Resort and golf course for redevelopment into a resort and residential community. The re-development will include 370 dwellings, whilst the golf course, central and leisure facilities are to be on-sold to specialist operators.

9. Payables - Current

Trade creditors Creditors - other - related party Loans from controlled entities Responsible Entity's fee	135.4 3.3 2.2 ٠ 6.4 147.3	146.1 3.8 2.0 8.7 160.6	66 B 1.3 2.2 26.5 4.1 100.9	53.7 1.7 2.0 27.1 5.9 90.4
10. Interest bearing liabilities - Current
Short and Medium Term Notes (refer Note 1(e) and Note 20)	775.0 775.0	356.0 356.0	775.0 775.0	356.0 356.0
11. Provisions
Distributions payable	105.3	101.4	105.3	101.4
12. Interest bearing liabilities - Non-current
Medium Term Notes (refer Note 1(e) and Note 20) CPI Coupon Indexed Bonds	1,227.0 125.0	880.0 125.0	1.227.0 125.0	880.0 125.0
	1,352.0	1.005.0	1.352.0	1,005.0

		Consolidated
	31 Dec 2003	31 Dec 2002
	\$m	\$m
13. Contributed equity
1,949,716,610 (Dec 2002: 1,949,716,610) units	4,400.8	4,400.8
	4,400.8	4,400.8
Movements in units at issue price
		Consolidated
		31 Dec 2003
	Number of	Amount at
	Units millions	Issue Price
		\$m
Balance at the beginning of the financial year	1,949.7	4,400.8
New issues:
Balance at the end of the financial year	1,949.7	4,400.8
		Consolidated
	Number of	31 Dec 2002
	Units	Amount at Issue Price
	millions	3m
Balance at the beginning of the financial year NAW RAISAR"	1,867.1	4,179.5

Units issued under Darling Park June 2000 arrangement 6.1 14.5 Units issued under Distribution Reinvestment Plan
Balance at the end of the financial year 76.5 206.8 19497 $4400B$

On 1 January 2002, 6.1 million units were issued pursuant to the Darling Park transaction arrangement as approved by the Trust's unitholders at an extraordinary general meeting held on 5 June 2000. The units issued were entitled to the full March 2002 quarter distribution and subsequent distributions

Distribution reinvestment plan

The Trust operated a distribution reinvestment plan ('DRP') under which holders of ordinary units elected to have all or part of their distribution entitlements satisfied by the issue of new ordinary units rather than being paid in cash. Units were issued under the plan at a 2% discount to the market price. The DRP has been terminated and has not applied to the distribution for any of the quarters of the 2003 year.

	31 Dec 2003 Sm.	31 Dec 2002 \$m
14. Equity securities issued
Distributions satisfied by the issue of ordinary units under the distribution reinvestment plan	۰	206.8

15. Asset revaluation reserve and undistributed income

Nature and purpose of reserve

Asset revaluation reserve

The asset revaluation reserve is used to record increments and decrements on the revaluation of non-current assets, as described in accounting policy note 1(d). The reserve is predominantly comprised of unrealised gains resulting from the revaluation of the Trust's property investments. The balance, or any part of the balance, standing to the credit of the reserve may be transferred to the Trust's distributions. During the financial year, \$Nil (Dec 2002: \$5.6m) of the net loss on sale of investment properties was transferred to distributions.

		Consolidated	GPT
	31 Dec 2003 \$m	31 Dec 2002 \$m	31 Dec 2003 \$m	31 Dec 2002 \$m
15. Asset revaluation reserve and undistributed income (Continued)
Balance at the beginning of the financial year	672.1	644.2	672.1	644.2
Increases/(decreases):
Directly held investment properties
Citiwest Industrial Estate	(1.9)	$\overline{\phantom{a}}$	(1.9)	$\overline{a}$
Australia Square	$\sim$	10.4	a.	10.4
Bonner House	1.7	٠	1.7
Borec House	0.1	$\overline{a}$	0.1
11 Grand Ave, Camellia	2.1	L,	2.1
Casuarina Square	×.	4.6	$\mathcal{L}$
Charlestown Square	51.5	ä,	51.5
Charlestown Convenience Centre	(0.1)	ä,	(0.1)	×.
Dandenong Plaza	2.0	0.5	2.0
Erina Fair	24.3	8.9	24.3
15 Berry Street Granville	0.8	L.	0.8
19 Berry Street Granville	1.6	ä,	1.6
Penrith Plaza	17.7	ä,	17.7
Plaza Parade	0.4	(1.6)	0.4	(1.6)
Riley Square	0.2	÷.	0.2
Riverside Centre	$\omega$ .	(32.1)	$\sim$	(32.1)
Black Ink House		0.1
Sunshine Plaza	4.6	11.4	4.6	11.4
Woden Plaza	31.0	÷.	31.0
Reserves attributable to controlled entities
Carlingford Court	$\sim$	16.5
Chirnside Park	10.4	$\overline{\phantom{0}}$
Wollongong Central	20.0
Floreat Forum	$\overline{\phantom{a}}$	0.5
Four Points	$\sim$	(0.6)
Macarthur Square	18.4	3.2
Homemaker City Aspley	$\sim$	0.2
Homemaker City Bankstown	4.4	0.5
Homemaker City Cannon Hill	1.2	0.1	L.
Homemaker City Castle Hill	$\overline{\phantom{a}}$	1.1
Homemaker City Fortitude Valley	0.5	$\overline{a}$
Homemaker City Jindalee	6.2	1.3
Homemaker City Maribymong	8.7	3.0	$\overline{a}$
Homemaker City Mt Gravatt	$\overline{a}$	1.5
IKEA Building, Prospect	0.5	(0.9)
Homemaker City Springwood	$\overline{\phantom{a}}$ $\overline{a}$	0.3	$\overline{a}$
Homemaker City Underwood		2.1
Homemaker City Windsor	$\overline{\phantom{a}}$ $\overline{\phantom{a}}$	0.5
Woolstore, Teneriffe 10 and 12 Mort Street		1.1 $\overline{a}$
HSBC Centre	(1.0)	L.
Neville's Comer	(3.2) $\sim$	(2.5)
Tattersalls Building	10.1
GEM Trusts GPT Hotel Trust	$\overline{\phantom{a}}$ $\sim$	$\overline{a}$ L.	76.2 ä,	28.5 (0.6)
Reserves attributable to associates
Brisbane Transit Centre		(1.3)	$\overline{\phantom{0}}$	(1.3)
Darling Park	(7.7)	1.1	(7.7)
Erina Fair	12.1	4.5	12.1	4.5
Horton Parade/Maroochydore Superstore	0.2	(0.9)	0.2	(0.9)
Citigroup Centre	18.2	$\overline{\phantom{a}}$	18.2	$\sim$
Net increase in valuations	235.0	33.5	235.0	33.5
Transfer to Distribution:
Net book loss on sale of Bankstown		(6.6)		(5.6)
Net transfer to Distribution	$\bar{a}$	(6.6)	ä,	(5.6)
Balance at the end of the financial year	907.1	672.1	907.1	672.1

		Consolidated		GPT
	31 Dec 2003 \$m	31 Dec 2002 \$m	31 Dec 2003 \$m	31 Dec 2002 \$m
15. Asset revaluation reserve and undistributed income (Continued)
Undistributed income
Net operating income	420.2	386.1	420.2	386.1
Undistributed income at the beginning of the financial year	0.7	0.5 5.6	0.7	0.5
Transfer from reserve Total available for distribution	420.9	392.2	420.9	5.6 392.2
Distributions provided for or paid	(413.3)	(391.5)	(413.3)	(391.5)
Undistributed income at the end of the financial year	7.6	0.7	7.6	0.7
16. Total equity
This represents amounts subscribed for units and options together with total reserves resulting in a net tangible asset backing of \$2.73 (Dec 2002:\$2.60) per unit based on the
number of GPT current units.	5,315.5	5,073.6	5,315.5	5,073.6
17. Notes to the statement of cash flows
⑷ Reconciliation of net operating income to net cash
Net operating income Loss/(gain) on disposal of properties	420.2	386.1 5.6	420.2 ä,	386.1 5.6
Net decrease in provisions:
Provision for doubtful debts			0.3
Interest capitalised	(17.6)	(12.6)	(17.6)	(12.6)
Net cash provided by operating activities before changes in assets and liabilities	402.6	379.1	402.9	379.1
Responsible Entity's fee	(2.2)	1.2	(1.8)	0.8
(Increase)/decrease in receivables	9.4	11.7	9.7	15.3
Increase/(decrease) in payables	(13.1)	2.3	6.0	4.8
Net cash provided by operating activities	396.7	394.3	416.8	400.0
(b) Reconciliation of Cash
Disclosed in Statements of Financial Position as: Cash	44.0	45.6	42.5	40.6
(c) Non-cash financing and investing activities
Units issued under the distribution reinvestment plan		206.8		206.8
	$\sim$	206.8	à,	206.8
	Consolidated
	31 Dec 2003	31 Dec 2002
18. Earnings per unit
Basic earnings per unit - (cents) (Net operating income including book loss divided by weighted average number of units)	21.6	20.1
Basic earnings per unit - (cents) (Net operating income excluding book losses divided by weighted average number of units)	21.6	20.4
Weighted average number of ordinary units on issue during the year	1,949.7	1,919.0

Natos to Financial Statemente

мотез го глианска этатентентs		Consolidated 31 Dec 2003 \$m	31 Dec 2002 s m
19. Investments in controlled entities and associates
Name of Entity	Interest ₩	Contribution to net operating income
Parent entity
General Property Trust		121.9	107.1
Controlled entities
GPT Hotel Trust	100
Ayers Rock Resort Trust	100	33.2	32.8
GPT Hotel (Darling Harbour) Trust	100	13.3	13.0
GPT Office Trust	100	÷	4.3
GPT Pty Limited	100	÷
GPT Subsidiary Holding Trust	100	÷
GEM Retail Property Trust	100	61.5	56.3
Homemaker Retail Property Trust	100	32.0	26.2
Whitnall Pty Ltd	100	$\overline{a}$	$\overline{a}$
GEM Commercial Property Trust	100	14	2.6
Growth Equities 530 Collins Street Trust	100	244	26.6
Growth Equities 580 George Street Trust	100	16.9	15.3
New Property Investment Trust No. 1	100	5.5	5.6
GEM Allendale Trust	100	۳
GPT Victoria Harbour No 1B Trust	100	$\overline{\phantom{0}}$
GPT Victoria Harbour No 1A Trust	100	2.1
GPT Victoria Harbour No 2B Trust	100
GPT Victoria Harbour No 2A Trust	100	÷
Melbourne Central Holdings Pty Ltd Melbourne Central Unit Trust	100 100	÷ 44.3	37.3
Melbourne Central Custodian Pty Ltd	100	$\overline{\phantom{a}}$	÷
Wales House Trust	100
		234.6	220.0

Associates
Erina Property Trust	50	4.8	4.3
Darling Park Trust	50	19.4	18.8
Darling Park Property Trust	50	14.1	13.5
1 Farrer Place Trust	-50	0.6	$\overline{\phantom{a}}$
Horton Trust	50	1.0	0.8
Roma Street Trust	50	5.1	47
Lend Lease GPT (Rouse Hill) Pty Limited	49
Lend Lease (Twin Waters) Pty Limited	49	0.1	÷
2 Park Street Trust	50	19.5	18.1
161 Sussex St Pty Limited	40	(0.9)	(1.2)
		63.7	59.0

All equity interests, as described in Note 6, issued by General Property Trust and its controlled entities are ordinary interests.

420.2

386.1

All associates have a reporting period of 30 June, except for Horton Trust and 161 Sussex St Pty Limited which have a reporting period of 31 December.

	Consolidated
	31 Dec 2003 $\mathbf{m}$	31 Dec 2002 \$m
19. Investments in controlled entities and associates (Continued)
Reserves attributable to associates
Asset revaluation reserve
Balance at the beginning of the financial year	33.5	29.9
Revaluations during the financial year	22.8	3.6
Balance at the end of the financial year	56.3	33.5
Movements in carrying amount of investments in associates
Carrying amount of investments at the beginning of the financial year	882.9	854.9
Net operating income attributable to associates	63.7	59.0
Less: Distributions received/receivable	(63.7)	(59.0)
Incidental costs on acquisition		0.5
Issue of equity	284.7	23.9
Redemption of equity		$\overline{\phantom{a}}$
Share of movements in asset revaluation reserve	22.8	3.6
Carrying amount of investments at the end of the financial year	1.190.4	882.9
Summary of the financial position of associates
The recognised amounts of aggregate assets and liabilities
of associates are:
Assets	1.230.0	896.2
Liabilities	(40.6)	(14.3)
Share of net assets of associates	1,189.4	881.9
Incidental costs on acquisition prior to latest revaluation of associate's asset	1.0	1.0
Carrying amount of investments at the end of the financial year	1,190.4	882.9

Share of associates' capital expenditure commitments - refer Note 7

Share of associates' financing facilities - refer Note 6

	Consolidated
31 Dec 2003	31 Dec 2002
Sm	\$m

20 Finance facilities

Bank stand-by facilities

400.0 400.0

The Trust has stand-by facilities of \$400 million (Dec 2002: \$400 million) to provide liquidity backup for the Short Term/Medium Term Note Programme which were not utilised at balance date. \$200 million matures on 30 April 2004 and a further \$200 million matures on 22 May 2004. It is anticipated that it will be possible to extend all facilities.

Short Term Note / Medium Term Note Programme

The Short Term/Medium Term Note Programme ('the Programme') is a revolving, non-underwritten, debt programme. The Programme provides flexible short term and medium term funding to enable the Trust to fund commitments and to act promptly on investment opportunities. The Programme can be terminated at the discretion of the Trust and is unsecured. The value of the notes issued under the programme is limited by the Trust constitution. The constitution limits the amount of debt to no more than 40% of the total assets. At 31 December 2003 the percentage of debt to total assets is 27.6%.

Maximum amount of Short Term Notes on issue during the year	595.0	548.0
Amount of Short Term Notes outstanding at the end of the year	595.0	356.0
Maximum amount of Medium Term Notes on issue during the year	1.407.0	1.040.0
Amount of Medium Term Notes outstanding at the end of the year	1.407.0	880.0

CPI Coupon Indexed Bonds

On 10 December 1999, the Trust issued CPI Coupon Indexed Bonds totalling \$125 million. The securities will expire on 10 December 2029 and have a current coupon of 6.79%. The coupon compounds quarterly at the rate of CPI.

Finance Facilities as at 31 December 2003

					Fixed interest maturing in
	Notes	Total	Non-Interest bearing	Floating interest rate	1 year or less	Over 1 year to 5 years	More than 5 years
		\$m	\$m	\$m	\$m	\$m	\$m
Financial assets
Cash and deposits		44.0		44.0	$\overline{a}$	$\overline{\phantom{a}}$
Receivables	4	46.0	46.0	$\bullet\hspace{-.15em}\bullet\hspace{-.15em}$		$\overline{\phantom{a}}$
		90.0	46.0	44.0	$\overline{r}$	$\bullet\hspace{-.15em}\bullet\hspace{-.15em}\bullet$
Weighted average interest rate				4.8%
Financial liabilities
Interest bearing liabilities	10, 12	2.127.0		1,217.0	100.0	610.0	200.0
Trade and other payables	9	147.3	147.3			$\tilde{v}$	$\mathbf{r}$
Interest rate swaps		$\overline{a}$	$\overline{r}$	(730.0)	190.0	640.0	(100.0)
Forward start interest rate swaps		(435.0)	$\tilde{\phantom{a}}$	$\ddot{\phantom{1}}$	(285.0)	(100.0)	(50.0)
Forward start interest rate swap maturities		435.0	$\mathbf{r}$	$\ddot{\phantom{1}}$		185.0	250.0
		2,274.3	147.3	487.0	5.0	1.335.0	300.0
Weighted average interest rate				5.7%	5.7%	5.9%	6.5%
Net financial liabilities		(2.184.3)	(101.3)	(443.0)	(5.0)	(1.335.0)	(300.0)

Unrealised losses on interest rate swaps totalling \$3.8 million (Dec 2002: \$10.3 million unrealised losses) have not been recognised in the financial statements as it is intended the Trust will retain these swaps to maturity.

The net fair value of all other financial assets and liabilities approximates their carrying value.

20. Finance facilities (Continued)

Finance facilities as at 31 December 2002

						Fixed interest maturing in
	Notes	Total	Non-Interest bearing	Floating interest rate	i year or less	Over 1 year to 5 years	More than 5 years
		\$m	\$m	\$m	\$m	\$m	\$m
Financial assets
Cash and deposits		45.6		45.6		$\overline{\phantom{a}}$
Receivables	4	39.7	39.7	$\bullet$	$\overline{\phantom{a}}$	$\bullet$
		85.3	39.7	45.6	$\overline{r}$	$\mathbf{v}$	$\overline{r}$
Weighted average interest rate				4.4%
Financial liabilities
Interest bearing liabilities	10, 12	1.361.0		961.0		400.0	۰
Trade and other payables	9	160.6	160.6		$\overline{r}$		$\overline{r}$
Interest rate swaps			٠	(730.0)		450.0	280.0
Forward start interest rate swaps		(50.0)	$\overline{r}$	$\overline{\phantom{a}}$	(50.0)	$\blacksquare$	$\overline{r}$
Forward start interest rate swap maturities		50.0	$\mathbf{r}$	$\bullet\circ$	$\tilde{\phantom{a}}$	50.0	۰
		1,521.6	160.6	231.0	(50.0)	900.0	280.0
Weighted average interest rate				5.4%	$\overline{r}$	5.9%	6.5%
Net financial (liabilities)/assets		(1, 436.3)	(120.9)	(185.4)	50.0	(900.0)	(280.0)

Notes to Financial Statements Year ended 31 December 2003

	Retail \$m	Office \$m	industrial \$m	Hotel and Tourism \$m	Masterplanned Urban Communities \$m	Consolidated \$m
21. Segment information
Primary reporting - business segments
Year Ended 31 December 2003
Total segment revenue Share of net profit of associates Unallocated revenue Revenue from ordinary activities	359.8 5.8	182.4 58.5	21.7 u.	48.0 (0.7)	v. 0.1	611.9 63.7 46.0 721.6
Segment result Responsible Entity's fee and other Borrowing costs Net operating income	266.7	195.2	18.5	47.0	0.1	527.5 (27.1) (80.2) 420.2
Segment assets Unallocated assets Total assets	3.817.9	2,971.7	292.5	534.3	26.2	7,642.6 52.5 7,695.1
Segment liabilities Unallocated liabilities Total liabilities	68.5	49.9	4.8	4.0	à.	127.2 2,252.4 2,379.6
Investments in associates	124.5	1,051.2	J.	8.2	6.5	1,190.4
Additions to investment properties	201.0	419.8	83.1	22.8		726.7
Additions included in other financial assets			J.	U,	26.1	26.1
Year Ended 31 December 2002
Total segment revenue Share of net profit of associates Unallocated revenue Revenue from ordinary activities	524.1 5.1	179.1 54.7	16.1 $\omega$	47.4 (0.8)		766.7 59.0 2.0 827.7
Segment result Responsible Entity's fee and other Borrowing costs Net operating income	247.5	188.8	13.3	46.3		495.9 (39.7) (70.1) 386.1
Segment assets Unallocated assets Total assets	3,349.7	2,563.3	206.6	526.0		6,645.6 51.0 6,696.6
Segment liabilities Unallocated liabilities Total liabilities	73.4	50.2	2.7	14.8		141.1 1,481.9 1,623.0
Investments in associates	93.6	780.3		9.0		882.9
Additions to investment properties	571.6	108.2	44.5	59.1		783.4
Additions included in other financial assets	$\overline{\phantom{a}}$	ı,	J.	v.

22. Transactions with Lend Lease Group

The Responsible Entity of the Trust is GPT Management Limited, a wholly owned subsidiary of Lend Lease Corporation Limited.

Details of the Responsible Entity's fee are disclosed in Note 3. The Responsible Entity's immediate and ultimate holding company is Lend Lease Corporation Limited.

All dealings between the Trust and Lend Lease Corporation Limited and its controlled entities and related parties ('Lend Lease') are on normal commercial terms and conditions and material dealings are reviewed by the Audit and Risk Management Committee. All contracts are subject to commercial appraisal, on a basis acceptable to the Responsible Entity, by an external valuer or a qualified external party approved by the Responsible Entity.

The following transactions have taken place with the Lend Lease Group during the year:

	Consolidated			GPT
	31 Dec 2003	31 Dec 2002	31 Dec 2003	31 Dec 2002
	\$m	\$m	\$m	\$m
Capital expenditure in relation to contracts for development. refurbishment and upgrades	242.0	225.3	127.4	74.7
Purchase of property right	0.9		0.9
Property management including property maintenance and insurance	28.0	25.6	15.1	14.3
Rental income from Lend Lease Group	8.2	7.7	8.2	7.7
Income guaranteed by Lend Lease under development and sale agreements	0.4	0.4	٠
GPT's share of Associates Responsible Entity fee	1.6	1.7

Lend Lease Group companies or trusts managed by a Lend Lease Group company held units in the Trust at 31 December, 2003 as follows:

	31 Dec 2003 Units	31 Dec 2002 Units
GPT Management Ltd as Trustee and Responsible Entity
for the GPT Split Trust	22.109.712	22.613.175

23. Other Information

Commencement date of the Trust

The Trust was constituted on 27 November 1970.

Life of the Trust

The life of the Trust is not limited by a term of years. The Trust shall continue whilst the units are listed on the Australian Stock Exchange Limited.

The principal activities of the Trust

General Property Trust was established to provide a vehicle for investors to own a share in a diversified portfolio of Australian property. During the financial year the Trust principally invested in property investments.

Policies for investments and borrowings by the Trust

The Trust invests in investment grade property to achieve income combined with the opportunity for capital growth for investors over a period of years. Investments in land and buildings are purchased at independent valuation plus acquisition costs. Investments in refurbishments and upgrades are at cost.

Deposits made under development agreements are at normal commercial money market terms.

Under the terms of the Trust Constitution, the Trust may borrow money unsecured or secured by the investments of the Trust. Trust borrowings at 31 December 2003 totalled \$2,127 million which is approximately 27.6% (Dec 2002: 20.3%) of total assets.

23. Other information (Continued)

Property jointly owned

Retail

Erina Fair is owned 50% by the Trust, through its interest in the property and its 50% interest in Erina Property Trust. The other 50% is owned by Lend Lease Real Estate Investments Limited ('LLREI'), on behalf of the Unitholders in the Australian Prime Property Fund Retail ('APPFR').

Macarthur Square is owned 50% by the Trust. The remaining 50% of Macarthur Square is held by LLREI on behalf of the Unitholders in the APPER

The Trust and LLREI have an equal interest in the Sunshine Plaza Joint Venture Investment Arrangement. LLREI holds the interest on behalf of the Unitholders in the APPFR.

Horton Parade and the Maroochydore Superstore Plaza are owned 50% by the Trust through its 50% interest in Horton Trust. The remaining 50% of Horton Trust is held by LLREI on behalf of the Unitholders in the APPFR.

Plaza Parade in Maroochydore is owned 50% by the Trust. The remaining 50% of Plaza Parade is held by LLREI on behalf of the Unitholders in the APPFR.

Office

Australia Square is owned 50% by the Trust. The remaining 50% is owned by Paladin Australia Limited on behalf of the Unitholders in the Deutsche Office Trust

The Trust has a 50% interest in the Darling Park Complex. This interest comprises a 50% interest in the Darling Park Trust (through GEM Commercial Property Trust) which holds a 60% interest in the Complex and a 50% interest in Darling Park Property Trust (through GEM Commercial Property Trust) which holds a 40% interest in the Complex. An additional 50% interest in the Complex is held by funds comprising the remaining 50% interest in the Darling Park Trust owned by the Ronin Property Group, and the remaining 50% interest in Darling Park Property Trust owned by AMP Life Limited on behalf of the AMP Statutory Fund Number 2.

The MLC Centre is owned 50% by the Trust. The remaining 50% is owned by Queensland Investment Corporation.

Citigroup Centre is owned 50% by the Trust. The remaining 50% is owned by Macquarie Office Management Limited on behalf of the Unitholders in the Macquarie Office Trust

1 Farrer Place is owned 50% by the 1 Farrer Place Trust, of which GPT has a 50% interest and the other 50% is held by LLREI on behalf of the Unitholders in the Australian Prime Property Fund Commercial (APPFC). The remaining 50% is owned by Deutsche Asset Management (Australia) Limited on behalf of the Unitholders of Deutsche Office Trust.

Mixed

The Brisbane Transit Centre is owned by the Roma Street Trust. Roma Street Trust and the B class shares of Roma Street Operations Pty Limited are owned 50% by the Trust. The remaining 50% interest in Roma Street Trust is held by Lend Lease Real Estate Investments Limited on behalf of the Unitholders of APPFC

Hotel & Tourism

The Trust owns a 40% interest in the assets of 161 Sussex Street Pty Limited. The remaining 60% interest is held by Starwood Pacific Hotels Pty Limited.

Buyback arrangement

As the Trust is listed buy-back arrangements are not required

Bonus issues

No bonus issues were made during the year.

Matters subsequent to the end of the financial year

The Responsible Entity is not aware of any circumstances that materially affect the Unitholders of General Property Trust as at 31 December 2003 except as detailed elsewhere in this Financial Report.

Directors' Declaration

The directors of the Responsible Entity declare that the financial statements and notes of the Trust set out on pages 4 to 28:

• (a) comply with Accounting Standards, the Corporations Regulations 2001 and other mandatory professional reporting requirements; and
• (b) give a true and fair view of the Trust's financial position as at 31 December 2003, and of its performance as represented by the results of its operations and its cash flows, for the financial year ended on that date.

In the directors opinion:

• (a) the financial statements and notes are in accordance with the Corporations Act 2001, and
• (b) there are reasonable grounds to believe that the Trust will be able to pay its debts as and when they become due and payable.

This declaration is made in accordance with a resolution of the directors.

Director

Director

GPT Management Limited

Sydney 28th January 2004

PRICEWATERHOUSE COPERS

Independent audit report to the unitholders of General Property Trust

Audit opinion

In our opinion, the financial report of General Property Trust:

• gives a true and fair view, as required by the Corporations Act 2001 in Australia, of the financial position of General Property Trust and the General Property Trust Group (defined below) as at 31 December 2003, and of their performance for the year ended on that date. and
• is presented in accordance with the Corporations Act 2001, Accounting Standards and other mandatory financial reporting requirements in Australia, and the Corporations Regulations 2001.

This opinion must be read in conjunction with the rest of our audit report.

Scope

The financial report and directors' responsibility

The financial report comprises the statement of financial position, statement of financial performance, statement of cash flows, accompanying notes to the financial statements, and the directors' declaration for both General Property Trust (the trust) and the General Property Trust Group (the consolidated entity), for the year ended 31 December 2003. The consolidated entity comprises both the trust and the entities it controlled during that year.

The directors of GPT Management Limited (the responsible entity) are responsible for the preparation and true and fair presentation of the financial report in accordance with the Corporations Act 2001. This includes responsibility for the maintenance of adequate accounting records and internal controls that are designed to prevent and detect fraud and error, and for the accounting policies and accounting estimates inherent in the financial report.

Audit approach

We conducted an independent audit in order to express an opinion to the unitholders of the trust. Our audit was conducted in accordance with Australian Auditing Standards, in order to provide reasonable assurance as to whether the financial report is free of material misstatement. The nature of an audit is influenced by factors such as the use of professional judgement, selective testing, the inherent limitations of internal control, and the availability of persuasive rather than conclusive evidence. Therefore, an audit cannot guarantee that all material misstatements have been detected.

We performed procedures to assess whether in all material respects the financial report presents fairly, in accordance with the Corporations Act 2001, Accounting Standards and other mandatory financial reporting requirements in Australia, a view which is consistent with our understanding of

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the trust's and the consolidated entity's financial position, and of their performance as represented by the results of their operations and cash flows.

We formed our audit opinion on the basis of these procedures, which included:

• examining, on a test basis, information to provide evidence supporting the amounts and disclosures in the financial report, and
• assessing the appropriateness of the accounting policies and disclosures used and the reasonableness of significant accounting estimates made by the directors.

When this audit report is included in an Annual Report, our procedures include reading the other information in the Annual Report to determine whether it contains any material inconsistencies with the financial report.

While we considered the effectiveness of management's internal controls over financial reporting when determining the nature and extent of our procedures, our audit was not designed to provide assurance on internal controls.

Our audit did not involve an analysis of the prudence of business decisions made by directors or management.

Independence

In conducting our audit, we followed applicable independence requirements of Australian professional ethical pronouncements and the Corporations Act 2001.

PricewaterhouseCoopers

Richard Deutsch Partner

Sydney 28^th January 2004