GPT GROUP - Annual Report 2017 | FinancialReports.eu

2016 ANNUAL RESULT Data Pack

	Contents CONTENTS GPT Overview 38 Financial Performance 44 Retail Portfolio 56 Ofce Portfolio 70 Logistics Portfolio 86 Development 100 Funds Management 102 Note: All information included in this pack includes GPT owned assets and GPT’s interest in the Wholesale Funds (GWOF and GWSCF) unless otherwise stated.
		CONTENTS GPT Overview 38 Financial Performance 44 Retail Portfolio 56 Ofce Portfolio 70 Logistics Portfolio 86 Development 100 Funds Management 102 Note: All information included in this pack includes GPT owned assets and GPT’s interest in the Wholesale Funds (GWOF and GWSCF) unless otherwise stated.

2016 ANNUAL RESULT GPT Overview

GPT Overview

GPT’s core portfolio consists of high quality properties in the retail, office and logistics sectors. The portfolio includes some of the most iconic buildings in Australia and award winning developments.

GPT Portfolio Diversity

Retail Portfolio

13 shopping centres
930,000 sqm GLA
3,200 + tenants
$5.3b portfolio
$8.2b AUM

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Highpoint Shopping Centre, Victoria

Office Portfolio

23 assets
1,120,000 sqm NLA
460 + tenants
$4.3b portfolio
$9.6b AUM

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HSBC Centre, Sydney

Logistics Portfolio

24 assets
710,000 sqm GLA
60 + tenants
$1.4b portfolio
$1.4b AUM

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TNT Erskine Park, Sydney

As at 31 December 2016

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Retail 48%
Office 39%
Logistics 13%
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GPT OVERVIEW

GPT Portfolio Metrics

Across the three sectors, GPT has maintained high occupancy and a long WALE.

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Portfolio Size Comparable Income Growth [1] WALE Occupancy WACR
Retail $5.32b 3.8% 4.0 years 99.6% 5.39%
Office $4.34b 6.3% 5.5 years 97.0% 5.55%
Logistics $1.40b 1.4% 7.9 years 95.3% 6.54%
Total $11.07b 4.5% 5.1 years 97.1% 5.58%
Structured Rental Increases [2]
Retail
Office Logistics
(Specialties)
Fixed 90% Fixed 93%
Fixed 74%
Other 10% Other 7%
4.7% Other 26% 3.9% 3.3%
Average fixed Average fixed Average fixed
Increase Increase Increase
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Income for the 12 months to 31 December 2016 compared to the previous corresponding period.
Structured rent reviews for the 12 months to 31 December 2017. Other includes market reviews and expiries in 2017.

GPT Securityholder Overview

GPT Securityholders by Geography

As at 31 December 2016

Australia & New Zealand 57% North America 22% Europe (ex UK) 8% Asia 8% UK 5%

GPT Securityholders by Type As at 31 December 2016

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Domestic
Institutions 47%
Foreign
Institutions 45%
Retail
Investors 8%
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GPT OVERVIEW

Glossary

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A-Grade As per the Property Council of Australia’s ‘A Guide to Office Building Quality’
AFFO Adjusted Funds From Operations: Adjusted Funds From Operations is
defined as FFO less maintenance capex, leasing incentives and one-off
items calculated in accordance with the PCA ‘Voluntary Best Practice
Guidelines for Disclosing FFO and AFFO’
AREIT Australian Real Estate Investment Trust
ASX Australian Securities Exchange
AUM Assets under management
Bps Basis Points
Capex Capital expenditure
CBD Central Business District
CO2 Carbon Dioxide
CPI Consumer Price Index
cps Cents per security
DPS Distribution per security
EBIT Earning Before Interest and Tax
EPS Earnings per security: Earnings per security is defined as Funds From
Operations per security
FFO Funds From Operations: Funds From Operations is defined as the
underlying earnings calculated in accordance with the PCA ‘Voluntary Best
Practice Guidelines for Disclosing FFO and AFFO’
FUM Funds under management
Gearing The level of borrowings relative to assets
GFA Gross Floor Area
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GLA Gross Lettable Area
GWOF GPT Wholesale Office Fund
GWSCF GPT Wholesale Shopping Centre Fund
HoA Heads of Agreement
IFRS International Financial Reporting Standards
IPD Investment Property Databank
IRR Internal Rate of Return
LBP Logistics & Business Parks
Major Tenants Retail tenancies including Supermarkets, Discount Department Stores,
Department Stores and Cinemas
MAT Moving Annual Turnover
MER Management Expense Ratio: Management Expense Ratio is defined as
management expenses divided by assets under management
Mini-Major Tenants Retail tenancies with a GLA above 400 sqm not classified as a Major Tenant
MTN Medium Term Notes
N/A Not Applicable
NABERS National Australian Built Environment Rating System
NAV Net Asset Value
Net Gearing Net gearing is calculated net of cash and excludes any fair value
adjustment on foreign bonds and their associated cross currency
derivative asset positions
NLA Net Lettable Area
NPAT Net Profit After Tax
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NTA Net Tangible Assets
Ordinary Securities Ordinary securities are those that are most commonly traded on the
ASX: The ASX defines ordinary securities as those securities that carry
no special or preferred rights. Holders of ordinary securities will usually
have the right to vote at a general meeting of the company, and to
participate in any dividends or any distribution of assets on winding up
of the company on the same basis as other ordinary securityholders
PCA Property Council of Australia
Premium Grade As per the Property Council of Australia’s ‘A Guide to Office Building Quality’
Prime Grade Includes assets of Premium and A-Grade quality
psm Per square metre
PV Present Value
Retail Sales Based on a weighted GPT interest in the assets and GWSCF portfolio.
GPT reports retail sales in accordance with the Shopping Centre Council
of Australia (SCCA) guidelines
ROCE Return on capital employed
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Specialty Tenants Retail tenancies with a GLA below 400 sqm
Sqm Square metre
TR Total Return: Total Return at GPT Group level is calculated as the change
in Net Tangible Assets (NTA) per security plus distributions per security
declared over the year, divided by the NTA per security at the beginning
of the year
TSR Total Securityholder Return: Total Securityholder Return is defined as
distribution per security plus change in security price
Total Tangible Assets Total tangible assets is defined as per the Constitution of the Trust and
equals Total Assets less Intangible Assets reported in the Statement of
Financial Position
USPP United States Private Placement
VWAP Volume weighted average price
WACD Weighted average cost of debt
WACR Weighted average capitalisation rate
WALE Weighted average lease expiry
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GPT OVERVIEW

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530 Collins Street, Melbourne

2016 ANNUAL RESULT Financial Performance

Financial Summary

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12 months to 31 December 2016 2015 Change
Funds From Operations ($m) 537.0 501.7 Up 7.0%
Net profit after tax ($m) 1,152.7 868.1 Up 32.8%
FFO per ordinary security (cents) 29.88 28.28 Up 5.6%
FFO yield (based on period end price) 5.9% 5.9% No Change
Distribution per ordinary security (cents) 23.4 22.5 Up 4.0%
Distribution yield (based on period end price) 4.7% 4.7% No Change
Net interest expense ($m) (100.0) (115.9) [1] Down 13.7%
Interest capitalised ($m) 8.5 5.7 Up 47.5%
Weighted average cost of debt 4.25% 4.60% Down 35 bps
Interest cover 6.4 times 5.3 times Up 1.1 times
The weighted average number of ordinary stapled securities was 1,797.4 million for 2016 and 1.773.9 million for 2015.
The period end price was $5.03 at 31 December 2016 and $4.78 at 31 December 2015.
As at 31 Dec 16 As at 31 Dec 15 Change
Total assets ($m) 11,817.9 11,006.5 Up 7.4%
Total borrowings ($m) 2,996.6 2,948.0 Up 1.6%
NTA per security ($) 4.59 4.17 Up 9.9%
Net gearing 23.7% 24.8% [2] Down 110 bps
Net look through gearing 25.7% 26.3% [2] Down 60 bps
Weighted average term to maturity of debt 6.5 years 5.1 years Up 1.4 years
Credit ratings (S&P/Moody’s) A stable / A3 stable A- Positive / A3 stable Upgraded
Weighted average term of interest rate hedging 4.4 years 5.6 years Down 1.2 years
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Excludes distribution on exchangeable securities.
Net gearing’ andnet look through gearing’ for 2015 have been restated due to a change in methodology. Net gearing is calculated net of cash and excludes any fair value adjustment on foreign bonds and their associated cross currency derivative asset positions.

FINANCIAL PERFORMANCE

Results Summary

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Segment performance 12 months to 31 December ($m) 2016 2015 Comment
Retail
Operations net income 288.3 294.7 Comparable property income growth of 3.8%
Development net income 5.8 0.8
294.1 295.5
Office
Operations net income 223.9 209.5 Comparable property income growth of 6.3%
Development net income 1.1 1.0
225.0 210.5
Logistics
Operations net income 92.7 92.4 Comparable property income growth of 1.4%
Development net income 2.7 2.2
95.4 94.6
Funds Management 61.0 44.6
Net financing costs (100.0) (115.9)
Corporate management expenses (29.8) (33.1)
Tax expenses (14.0) (4.9)
Non-core 5.3 12.1
Less: distribution to exchangeable securities 0.0 (1.7)
Funds From Operations (FFO) 537.0 501.7
Valuation increase 611.6 432.1
Financial instruments mark to market movements and net foreign exchange movements (23.0) (74.0)
Other items 27.1 6.6
Exclude distributions on exchangeable securities in Funds From Operations 0.0 1.7
Net Profit After Tax (NPAT) 1,152.7 868.1
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Funds From Operations to Adjusted Funds From Operations

12 months to 31 December ($m)	2016	2015
Core business	675.5	645.2
Non-core operations	5.3	12.1
Financing and corporate overheads	(143.8)	(153.9)
Less: distribution to exchangeable securities	0.0	(1.7)
Funds From Operations	537.0	501.7
Maintenance capital expenditure	(45.4)	(45.6)
Lease incentives (including rent free)	(70.1)	(73.0)
Adjusted Funds From Operations	421.5	383.1

FINANCIAL PERFORMANCE

NTA Movement

Securities on Issue	Number of Securities (million)
Opening balance 1 January 2016	1,794.8
Issue of securities	3.2
31 December 2016 Balance	1,798.0

	Net Assets	No. of Securities	NTA per Security
NTA Movement	($m)	(million)	($)
NTA position as at 31 December 2015	7,489.6	1,794.8	4.17

Funds From Operations	537.0		0.30
Revaluations (include development proft)	611.6		0.34
Mark to market of Treasury	(8.3)		(0.01)
Distribution	(420.7)		(0.23)
Issue of securities	10.6	3.2	0.00
Other	27.1		0.01
Movement in NTA	757.3		0.42

NTA position as at 31 December 2016	8,246.9	1,798.0	4.59

Capital Management Summary

Gearing ($m)		As at 31 December 2016
Total assets		11,817.9
Less: intangible assets		(35.3)
Less: Cross currency swap assets		(214.4)
Total tangible assets		11,568.2
Current borrowings		48.8
Non-current borrowings		2,947.8
Less: Fair value of foreign currency bonds		(214.5)
Total borrowings1		2,782.1
Headline Gearing		24.0%
Net Gearing2		23.7%

Interest Cover ($m)		31 December 2016
Funds From Operations		537.0
Add: taxes deducted		14.0
Add: Finance Costs for the period		102.6
Earnings Before Interest and Tax (EBIT)		653.6
Finance Costs		102.6
Interest Cover		6.4 times

Includes unamortised establishment costs and other adjustments. As at 31 December 2016, drawn debt is $2,752 million.
Calculated net of cash and excludes any fair value adjustment to foreign bonds and their associated cross currency derivative asset positions.

FINANCIAL PERFORMANCE

Look Through Gearing

Look Through Gearing as at 31 December 2016	GPT Group	GWOF	GWSCF	Other2	Total
Share of assets of non-consolidated entities
Group total tangible assets	11,568.2				11,568.2
Plus: GPT share of assets of non-consolidated entities		1,618.7	950.6	1,054.6	3,623.9
Less: total equity investment in non-consolidated entities		(1,283.1)	(822.7)	(1,014.4)	(3,120.2)
Less: GPT loans to non-consolidated entities				(2.0)	(2.0)
Total look through assets	11,568.2	335.6	127.9	38.2	12,069.9
Group total borrowings	2,782.1				2,782.1
Plus: GPT share of external debt of non-consolidated entities		294.3	93.7	2.1	390.1
Total look through borrowings	2,782.1	294.3	93.7	2.1	3,172.2
Look through gearing					26.3%
Look through gearing based on net debt1					25.7%

Calculated net of cash and excludes any fair value adjustment to foreign bonds and its associated cross currency derivative asset positions.
Retail, office and other assets (held in joint ventures).

Debt

Debt Cost
Average for period ending		Average Debt	% of Average Debt		Interest Rate
31 December 2016		($m)		(%)	(%)
Hedged debt		1,613		62%	3.0%
Floating debt		981		38%	2.1%
Total debt		2,594		100%	2.7%
Margin					1.1%
Fees					0.5%
All-in cost of funds					4.25%
Debt Funded Capacity	Current Gearing	Investment Capacity
As at 31 December 2016	(%)	($m)			Comment
Balance Sheet	23.7%	1,040		Assumes increase to 30% gearing
Funds
– GWOF	17.8%	1,140		Assumes increase to 30% gearing
– GWSCF	9.4%	1,100		Assumes increase to 30% gearing
Total		3,280

Sources of Drawn Debt

As at 31 December 2016

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Domestic bank debt 21%
Foreign bank debt 14%
Secured bank debt 4%
Domestic MTNs 32%
Foreign MTNs 6%
USPP 20%
CPI bonds 3%
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FINANCIAL PERFORMANCE

Debt Facilities

Current Debt Facilities as at 31 December 2016

Current Forward Start Debt Facilities

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Outstanding ($m) (equiv) Maturity Date Limit ($m) (equiv) Available ($m) (equiv) Start Date Maturity Date Limit ($m) (equiv)
Bank Facility – Metroplex 3 28 Feb 17 4 1 1 Aug 17 29 Nov 19 75
Bank Facility – Metroplex 4 5 May 17 5 1 1 Aug 17 30 Oct 20 75
Bank Facility – Metroplex 12 21 May 17 12 0 Total 150
Medium Term Notes 30 19 Nov 17 30 0
Bank Bilateral 75 11 Mar 18 [1] 75 0
Bank Bilateral 100 30 Mar 18 [1] 100 0
Bank Bilateral 150 26 Oct 18 150 0
Bank Bilateral 50 30 Nov 18 50 0
Bank Bilateral 100 1 Jan 19 100 0
Medium Term Notes 250 24 Jan 19 250 0
Bank Facility – Somerton 88 28 Feb 19 88 0
Bank Bilateral 75 31 May 19 75 0
Bank Bilateral 100 31 Jul 19 100 0
Bank Bilateral 0 31 Jul 20 125 125
Medium Term Notes 150 11 Sep 20 150 0
Bank Bilateral 0 1 Oct 20 100 100
Bank Bilateral 0 1 Oct 20 50 50
Bank Bilateral 97 30 Nov 20 100 3
Bank Bilateral 0 31 Mar 21 100 100
Bank Bilateral 0 31 Jul 21 100 100
Bank Bilateral 115 30 Sep 21 115 0
Bank Bilateral 0 30 Nov 21 100 100
Bank Bilateral 100 12 Dec 21 100 0
Medium Term Notes 50 16 Aug 22 50 0
Medium Term Notes 200 7 Nov 23 200 0
US Private Placement 146 19 Jun 25 146 0
Medium Term Notes 69 30 Mar 26 69 0
Medium Term Notes 200 24 Aug 26 200 0
US Private Placement 64 2 Jun 27 64 0
Medium Term Notes 99 5 Feb 28 99 0
US Private Placement 64 2 Jun 28 64 0
US Private Placement 97 19 Jun 28 97 0
US Private Placement 67 8 Jul 29 67 0
US Private Placement 121 8 Jul 29 121 0
CPI Indexed Bonds 75 10 Dec 29 75 0
Total Borrowings 2,752 3,331 579
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Quarterly extension facility.

Debt Maturity Profile

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Debt Maturity Profile
As at 31 December 2016
(A$ millions)
600
513
415
260 263
200 200 200
175 175
146
100
69 64
50
20 30
1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H
2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029
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Facility Limit

FINANCIAL PERFORMANCE

Liquidity Profile

As at 31 December 2016

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0.9
0.8
0.7
0.6
0.5
($bn)
0.4
0.3
0.2
0.1
0.0
Cash balance Undrawn Current Forward Start Development/Capex
31 Dec 2016 existing liquidity Facilities
facilities
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Retained Debt facility Excess liquidity
earnings expiries at 31 Dec 2017
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Hedging Profile

Hedging Profile as at 31 December 2016

	Average Rate on Hedged Balance	Principal Amount of Derivative	Principal Amount of
Hedging Position	excl Margins	Financial Instruments ($m)	Fixed Rate Borrowings ($m)
31 December 2016	3.12%	1,050	525
31 December 2017	3.24%	1,045	525
31 December 2018	2.75%	1,340	525
31 December 2019	2.77%	1,540	275
31 December 2020	4.08%	900	125
31 December 2021	4.08%	900	125

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2500
2.99%
2000
2.75% 2.77% 2.77%
3.12% 3.24% 3.24%
1500
2.70%
($m)
4.08% 4.08% 4.08%
1000
500
0
Dec 16 Jun 17 Dec 17 Jun 18 Dec 18 Jun 19 Dec 19 Jun 20 Dec 20 Jun 21 Dec 21
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Fixed rate debt Swaps
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FINANCIAL PERFORMANCE

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TNT, Erskine Park, Sydney

2016 ANNUAL RESULT Retail Portfolio

Retail Portfolio Overview

GPT is a leading owner, manager and developer of Australian retail property. GPT’s retail investments of $5.3 billion include a portfolio of assets held on the Group’s balance sheet and an investment in the GPT Wholesale Shopping Centre Fund (GWSCF).

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Darwin
1
NT
QLD
Brisbane
WA 1
SA
NSW Sydney
6
VIC
5 Melbourne
Number of assets in each state
TAS
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New South Wales

GPT Owned

Charlestown Square
Rouse Hill Town Centre
Westfield Penrith (50%)[1]

GWSCF Owned

Macarthur Square (50%)[1]
Norton Plaza
Wollongong Central

Victoria

GPT Owned

Melbourne Central
Highpoint Shopping Centre (16.67%)

GWSCF Owned

Chirnside Park
Highpoint Shopping Centre (58.33%)

Northern Territory

GPT Owned

Casuarina Square (50%)

GWSCF Owned

Casuarina Square (50%)

Queensland

GPT Owned

Sunshine Plaza (50%)[1]
Northland Shopping Centre (50%)[1]
Parkmore Shopping Centre

1. Not Managed by GPT

Note: GLA and number of tenancies is updated on an annual basis, as at 31 December 2016. All totals and averages are based on GPT’s balance sheet portfolio and weighted ownership interest in the GWSCF portfolio. GPT reports retail sales in accordance with the Shopping Centre Council of Australia (SCCA) guidelines.

RETAIL PORTFOLIO

Retail Portfolio Summary

The GPT retail portfolio is well positioned with a high level of occupancy at 99.6%. The retail portfolio achieved comparable income growth of 3.8% over the 12 months to 31 December 2016.

Top Ten Tenants[1] As at 31 December 2016

Geographic Weighting As at 31 December 2016

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Cotton On
Wesfarmers Woolworths Clothing Myer Just Group
4.9% 4.1% 2.9% 2.7% 2.6%
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1.9% 1.5% 1.2% 1.2% 1.0%
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NSW VIC
44% 41%
QLD NT
8% 7%
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Hoyts Country Road Westpac BB Retail Australian Group Capital Pharmaceutical Industries

Based on gross rent (including turnover rent).

Retail Portfolio Summary

The high quality retail portfolio has been created over approximately 40 years and currently consists of interests in 13 shopping centres.

13 shopping centres.
		GLA (100%	31 Dec 16	31 Dec 16	External or		Annual Centre	Occupancy	Specialty
		Interest)	Fair Value	Cap Rate	Internal		Turnover	Cost	Sales
State	Ownership	(sqm)	($m)	(%)	Valuation	Occupancy	($m)	Specialty	($psm)
GPT Portfolio
Casuarina Square NT	50%	54,700	313.0	5.75%	External	99.6%	388.9	16.3%	11,501
Charlestown Square NSW	100%	93,500	892.6	5.75%	Internal	99.2%	545.2	14.0%	11,858
Highpoint ShoppingCentre¹ VIC	16.67%	154,000	383.2	4.75%	External	99.9%	991.4	19.5%	10,771
Melbourne Central² VIC	100%	56,000	1,274.0	5.00%	External	99.8%	496.6	18.5%	12,064
Rouse Hill Town Centre NSW	100%	69,300	578.8	5.75%	External	100.0%	430.4	14.7%	8,409
Sunshine Plaza QLD	50%	73,400	417.3	5.50%	External	99.8%	535.5	18.6%	11,704
Westfeld Penrith NSW	50%	91,800	636.2	5.25%	Internal	100.0%	636.7	17.8%	12,308
GWSCF Portfolio
Casuarina Square NT	50%	54,700	313.0	5.75%	External	99.6%	388.9	16.3%	11,501
Chirnside Park VIC	100%	37,600	274.0	6.00%	External	98.9%	273.3	15.5%	11,605
Highpoint ShoppingCentre¹ VIC	58.33%	154,000	1,341.1	4.75%	External	99.9%	991.4	19.5%	10,771
Macarthur Square NSW	50%	94,600	512.4	5.75%	External	n/a	539.6	16.2%	10,558
Northland ShoppingCentre VIC	50%	97,400	483.0	5.625%	External	99.7%	525.9	19.3%	8,621
Norton Plaza NSW	100%	11,900	137.4	6.00%	External	99.1%	127.4	13.7%	12,013
Parkmore ShoppingCentre VIC	100%	36,900	254.3	6.25%	External	98.4%	255.2	15.2%	8,866
WollongongCentral NSW	100%	56,600	403.3	5.75%	External	98.2%	275.0	14.8%	8,427
Total		927,700		5.39%		99.6%³	2,845.7	16.9%⁴	11,036⁴

Fair value includes Homemaker City Maribyrnong. Cap rate of 7.50%.
Fair value includes retail and 100% interest of car park. Car park cap rate of 5.75%.
Excludes development impacted centre (Macarthur Square).
Excludes development impacted centres (Wollongong Central and Macarthur Square).

RETAIL PORTFOLIO

Retail Sales Summary

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|||||||
|---|---|---|---|---|---|
|Comparable|Comparable|
|Centre MAT|Centre MAT|Specialty MAT|Specialty MAT|Specialty|
|($m)|Growth|Growth|($psm)|Occupancy Cost|
|GPT Portfolio|
|Casuarina Square|388.9|0.0%|(0.7%)|11,501|16.3%|
|Charlestown Square|545.2|0.9%|(1.0%)|11,858|14.0%|
|Highpoint Shopping Centre|991.4|1.3%|2.1%|10,771|19.5%|
|Melbourne Central|496.6|12.5%|8.1%|12,064|18.5%|
|Rouse Hill Town Centre|430.4|2.7%|3.6%|8,409|14.7%|
|Sunshine Plaza¹|535.5|1.9%|2.5%|11,704|18.6%|
|Westfeld Penrith²|636.7|1.3%|(0.1%)|12,308|17.8%|
|GWSCF Portfolio|
|Casuarina Square|388.9|0.0%|(0.7%)|11,501|16.3%|
|Chirnside Park|273.3|1.1%|4.3%|11,605|15.5%|
|Highpoint Shopping Centre|991.4|1.3%|2.1%|10,771|19.5%|
|Northland Shopping Centre³|525.9|2.2%|2.0%|8,621|19.3%|
|Norton Plaza|127.4|4.3%|5.4%|12,013|13.7%|
|Parkmore Shopping Centre|255.2|0.6%|0.3%|8,866|15.2%|
|GPT Weighted Total|2,845.7|3.2%|2.6%|11,036|16.9%|

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||||||||
|---|---|---|---|---|---|---|
|Centres Under Development|
|GWSCF Portfolio|
|Wollongong Central|275.0|5.2%|2.4%|8,427|14.8%|
|Macarthur Square|[¹]|539.6|(6.0%)|(4.5%)|10,558|16.2%|

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Analysis provided by Lend Lease.
Analysis provided by Scentre Group.
Analysis provided by Vicinity Centres.

Comparable Change in Retail Sales by Category

Retail sales showed positive growth over the 12 months to 31 December 2016 with total centre sales up 3.2% and specialties up 2.6%.

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Comparable Change in Retail Sales by Category as at 31 December 2016 MAT ($m) 12 Months Growth
Department Store $136.4m 4.2%
Discount Department Store $255.7m (2.6%)
Supermarket $458.4m 2.4%
Mini and Other Majors $375.6m 12.6%
Other Retail¹ $235.9m 0.8%
Total Specialties $1,383.7m 2.6%
Total Centre $2,845.7m 3.2%
Specialty Sales Split
Jewellery $88.2m 14.5%
General Retail $148.2m 13.9%
Homewares $75.6m 6.2%
Retail Services $116.7m 3.6%
Food Catering $260.2m 2.4%
Food Retail $66.4m 2.0%
Apparel $497.4m (1.2%)
Leisure $77.9m (1.9%)
Mobile Phones $53.2m (3.5%)
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Note: Excludes development impacted centres (Wollongong Central and Macarthur Square).

Other Retail includes travel agents, lotto, automotive accessories, cinemas, and other entertainment and other reporting tenants.

RETAIL PORTFOLIO

Retail Sales

Retail specialty sales have increased 2.6% over the 12 months to 31 December 2016.

Specialty MAT Growth

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6.5%
5.9%
4.4%
4.2% 4.2%
3.9% 4.0%
3.6%
3.2%
2.8%
2.7%
2.6%
2.3%
2.1%
1.8%
1.5%
1.2%
1.1%
0.5%
0.4%
0.2%
Dec 06 Jun 07 Dec 07 Jun 08 Dec 08 Jun 09 Dec 09 Jun 10 Dec 10 Jun 11 Dec 11 Jun 12 Dec 12 Jun 13 Dec 13 Jun 14 Dec 14 Jun 15 Dec 15 Jun 16 Dec 16
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Note: From December 2014, based on GPT weighted interest. Excludes development impacted centres (Wollongong Central and Macarthur Square).

Lease Expiry Profile

Weighted Average Lease Expiry
(by base rent) as at 31 December 2016
Major Tenants		10.5 years
Mini-Major Tenants		4.5 years
Specialty Tenants		2.7 years
Weighted Total		4.0 years

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Total Centres Total Specialty Tenants
26% [1]
21% [1]
17%
16% 16%
15% 15% 15%
13% 13%
10%
8%
6%
4%
2%
1% 1%
2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027+ 2017 2018 2019 2020 2021 2022+
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Includes holdovers.

RETAIL PORTFOLIO

External Valuation Summary

100% of the GPT retail portfolio was valued externally in the 12 months to 31 December 2016.

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Valuation Capitalisation Rate
State Ownership Date Valuer ($m) (%)
GPT Portfolio
Casuarina Square NT 50% 31 Dec 16 CBRE 313.0 5.75%
Charlestown Square NSW 100% 30 Jun 16 m3 882.0 5.75%
Highpoint Shopping Centre¹ VIC 16.67% 31 Dec 16 Savills 383.2 4.75%
Melbourne Central² VIC 100% 31 Dec 16 CBRE 1,274.0 5.00%
Rouse Hill Town Centre NSW 100% 31 Dec 16 m3/Knight Frank 578.8 5.75%
Sunshine Plaza QLD 50% 31 Dec 16 m3 417.3 5.50%
Westfield Penrith NSW 50% 30 Jun 16 Knight Frank 632.5 5.25%
GWSCF Portfolio
Casuarina Square NT 50% 31 Dec 16 CBRE 313.0 5.75%
Chirnside Park VIC 100% 31 Dec 16 Savills 274.0 6.00%
Highpoint Shopping Centre¹ VIC 58.33% 31 Dec 16 Savills 1,341.1 4.75%
Macarthur Square NSW 50% 31 Dec 16 Colliers 512.4 5.75%
Northland Shopping Centre VIC 50% 31 Dec 16 CBRE 483.0 5.625%
Norton Plaza NSW 100% 31 Dec 16 Knight Frank 137.4 6.00%
Parkmore Shopping Centre VIC 100% 31 Dec 16 CBRE 254.3 6.25%
Wollongong Central NSW 100% 31 Dec 16 JLL 403.3 5.75%
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Note: Valuations include ancillary assets.

Valuation includes Homemaker City Maribyrnong.
Valuation includes retail and car park.

Income and Fair Value Schedule

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Rouse Hill – Land: ($49.7m) reflects a combination of (i) transfer of residential land from GPT Trust to Inventory in GMH ($30.1m) and (ii) residual balance of land combined with Rouse Hill Town Centre that is allocated for potential future retail development ($19.6m).
GPT Equity Interest in GWSCF represents GPT’s equity accounted interest in the net assets of the Fund, including net revaluations of investment property and mark to market movements of financial instruments. Net income for the 12 months to 31 December 2016 represents GPT’s share of FFO for the period.

RETAIL PORTFOLIO

Retail Sustainability

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Water (Total) Emissions Waste %
Area GLA Litres/m [2] kg CO2-e/m [2] Recycled/Reused
GPT Portfolio
Casuarina Square 54,700 2,127 89 27%
Charlestown Square 93,500 591 18 67%
Highpoint Shopping Centre 154,000 1,000 51 32%
Melbourne Central 56,000 2,002 99 17%
Rouse Hill Town Centre 69,300 1,260 17 62%
Sunshine Plaza 73,400 1,219 78 44%
Westfield Penrith 91,800 1,456 91 45%
GWSCF Portfolio
Casuarina Square 54,700 2,127 89 27%
Chirnside Park 37,600 808 32 36%
Highpoint Shopping Centre 154,000 1,000 51 32%
Macarthur Square 94,600 1,253 74 27%
Northland Shopping Centre 97,400 901 106 33%
Norton Plaza 11,900 1,372 43 42%
Parkmore Shopping Centre 36,900 827 54 45%
Wollongong Central 56,600 635 62 32%
Portfolio Average 1,151 65 38%
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Retail – Specialty MAT growth

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Contribution by asset to 2.6% Specialty MAT growth [1]
2.5%
2.0% Melbourne Central
8 . 1%
1 . 8%
1.5%
1.0%
0.5% Westfield Penrith Hig2h . 1p%oint Rou3 . s6e% Hill
- 0 . 1% 0 . 2% Sunshine 0 . 5%
0 . 0% 2 . 5% Chirnside Norton Plaza
0.0% Cha - r1le . 0s%town Ca -- s00u .. 71a%%rina Parkmore 0.3%0.0% No20rt .. 00h%%land 0 . 2% 40 .. 31%% 5 0 ..4 0 % %
- 0 . 2%
-0.5% % black = specialty MAT growth
% blue = contribution to specialty MAT growth
Bubble size = asset proportion of total portfolio
specialty sales
-1.0%
-4% -2% 0% 2% 4% 6% 8%
Specialty MAT Growth
GPT assets GWSCF assets
Contribution to portfolio specialty MAT sales growth
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Excludes development impacted assets (Wollongong Central and Macarthur Square).

GPT 2016 Annual Result

RETAIL PORTFOLIO

Retail – Specialty MAT growth

Contribution by commodity group to 2.6% Specialty MAT growth[1]

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2.0%
1.5% General Retail
13 . 9%
1 . 3%
1.0% Jewellery
14 . 5%
0 . 8%
0.5% Food2 C . 4a%tering Retail Homewares
0 . 4% Services 6 . 2%
3 . 6% 0 . 3%
0.0% PM -- h30oo .. b51ni%%eles L--e 10 i..s 91 u %% re Foo 20 d.. R 01%% etail 0 . 3% % black = specialty MAT growth
-0.5% A -- p10p .. 25a%%rel Bubble size = asset proportion of total portfolio specialty sales% blue = contribution to GPT portfolio specialty MAT growth
-1.0%
-5% 0% 5% 10% 15%
Specialty MAT Growth
Contribution to portfolio specialty MAT sales growth
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Excludes development impacted assets (Wollongong Central and Macarthur Square).

GPT 2016 Annual Resul

Rouse Hill Town Centre

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Rouse Hill Data
42km
from Sydney CBD
425,500
trade area population
$110,000
average household income
(25% above national average)
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Sydney Metro Northwest
• New station to be located directly
outside the Rouse Hill Town Centre
• Services expected to start in 1H 2019,
with a train every 4 minutes at
peak times
• Travel time of 45 minutes to
Martin Place station
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RETAIL PORTFOLIO

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Macarthur Square, New South Wales

2016 ANNUAL RESULT Office Portfolio

Office Portfolio Overview

GPT’s office portfolio comprises ownership in 23 high quality assets with a total investment of $4.3 billion. The portfolio includes assets held on the Group’s balance sheet and an investment in the GPT Wholesale Office Fund (GWOF).

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NT
QLD
Brisbane
WA 3
SA
NSW Sydney
10
VIC
l Number of assets in each state 10 Melbourne
TAS
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New South Wales

GPT Owned

Australia Square (50%)
Citigroup Centre (50%)
MLC Centre (50%)
1 Farrer Place (25%)

GWOF Owned

Liberty Place (50%)
Darling Park 1 & 2 (50%)
Darling Park 3
HSBC Centre
workplace[6]

Victoria

GPT Owned

Melbourne Central Tower
CBW, Melbourne (50%)

GWOF Owned

2 Southbank Boulevard (50%)
8 Exhibition Street (50%)
100 Queen Street
150 Collins Street
530 Collins Street
655 Collins Street
750 Collins Street
CBW, Melbourne (50%)
800/808 Bourke Street

Queensland

GPT Owned

One One One Eagle Street (33.33%)

GWOF Owned

One One One Eagle Street (66.67%)
Riverside Centre
545 Queen Street

Note: All totals and averages are based on GPT’s balance sheet portfolio and weighted ownership interest in the GWOF portfolio.

OFFICE PORTFOLIO

Office Portfolio Summary

The GPT office portfolio has exposure to 100% Prime Grade office assets and benefits from a diversified tenant base.

Top Ten Tenants[1] As at 31 December 2016

Tenant Mix by Industry As at 31 December 2016

Geographic Weighting As at 31 December 2016

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Government ANZ NBN Co Deloitte NAB
6.8% 3.5% 3.1% 3.1% 2.7%
2.7% 2.6% 2.4% 2.2% 2.2%
IAG Members Citibank Arrow Energy PwC
Equity Bank
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SYDNEY
54%
MELBOURNE
33%
BRISBANE
13%
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Based on gross rent.

Banking 20% Accountants 9% Legal 15% Government 7% Other Business Services 14% Finance 5% Insurance 12% Mining & Energy 4% Info and Comms Technology 10% Other 3%

Lease Expiry Profile

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Lease Expiry Profile
(by Income)
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17%
14%
12%
11%
9%
8%
7% 7%
6% 6%
3%
2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027+
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Note: Includes Signed Leases.

OFFICE PORTFOLIO

Office Portfolio Summary

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1 Farrer Place, Sydney

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CBW, Melbourne

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MLC Centre, Sydney

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Office Occupancy
Office NLA
(100% 31 Dec 16 31 Dec 16 External or Inc. WALE
Interest) Fair Value Cap Rate Internal Inc. Signed Heads of by Income
State Ownership (sqm) ($m) (%) Valuation Actual Leases Agreement (Years)
GWOF Portfolio
Liberty Place, 161 Castlereagh Street, Sydney NSW 50% 56,400 587.5 5.00% External 100.0% 100.0% 100.0% 8.6
DP1: 5.50% DP1: 5.0
Darling Park 1 & 2, Sydney NSW 50% 101,900 815.4 Internal 100.0% 100.0% 100.0%
DP2: 5.25% DP2: 9.5
Darling Park 3, Sydney NSW 100% 29,800 413.7 5.50% Internal 45.3% 67.6% 75.0% 7.6
HSBC Centre, Sydney NSW 100% 37,300 467.0 5.75% External 96.5% 100.0% 100.0% 3.7
workplace [6] , Sydney NSW 100% 16,300 225.0 6.00% External 100.0% 100.0% 100.0% 4.2
2 Southbank Boulevard, Melbourne VIC 50% 53,500 231.1 5.75% Internal 98.5% 99.3% 99.3% 2.6
8 Exhibition Street, Melbourne VIC 50% 44,600 210.7 5.25% Internal 88.1% 99.0% 99.0% 5.7
100 Queen Street, Melbourne VIC 100% 34,900 274.5 5.13% External 100.0% 100.0% 100.0% 2.5
150 Collins Street, Melbourne VIC 100% 19,100 214.6 5.38% Internal 93.0% 93.0% 93.0% 9.7
530 Collins Street, Melbourne VIC 100% 65,700 576.3 5.63% External 98.8% 98.8% 98.8% 4.2
655 Collins Street, Melbourne VIC 100% 16,600 137.9 5.25% Internal 100.0% 100.0% 100.0% 12.9
750 Collins Street, Melbourne VIC 100% 37,300 250.2 6.75% Internal 100.0% 100.0% 100.0% 2.9
CBW, Melbourne VIC 50% 76,100 336.3 5.63% External 96.0% 98.0% 98.0% 6.8
800/808 Bourke Street, Melbourne VIC 100% 59,600 525.0 5.13% External 100.0% 100.0% 100.0% 10.6
One One One Eagle Street, Brisbane QLD 66.67% 63,700 568.3 5.50% External 97.8% 97.8% 98.8% 7.0
Riverside Centre, Brisbane QLD 100% 51,700 628.8 5.88% Internal 86.2% 89.0% 89.4% 3.0
545 Queen Street, Brisbane QLD 100% 13,100 80.8 [1] 7.50% External 96.6% 96.6% 96.6% 0.6
Total 1,119,700 5.55% 93.6% 97.0% 98.1% 5.5
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The Fair Value consists of the external valuation as at 31 December 2016 of $68.5m and a non-refundable deposit of $12.3m.

OFFICE PORTFOLIO

External Valuation Summary

The entire GPT office portfolio was valued externally in the 12 months to 31 December 2016.

				Valuation	Capitalisation Rate
State	Ownership	Date	Valuer	($m)	(%)
GPT Portfolio
Australia Square, Sydney NSW	50%	30 Jun 16	Savills	399.5	5.57%
Citigroup Centre, Sydney NSW	50%	30 Jun 16	Colliers	542.0	5.50%
MLC Centre, Sydney NSW	50%	30 Jun 16	Knight Frank	518.5	5.64%
1 Farrer Place, Sydney NSW	25%	30 Jun 16	JLL	426.3	5.16%
Melbourne Central Tower, Melbourne VIC	100%	30 Jun 16	JLL	508.0	5.75%
CBW, Melbourne VIC	50%	31 Dec 16	JLL	336.3	5.63%
One One One Eagle Street, Brisbane QLD	33.33%	31 Dec 16	Colliers	284.2	5.50%

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Citigroup Centre, Sydney

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Valuation Capitalisation Rate
State Ownership Date Valuer ($m) (%)
GWOF Portfolio
Liberty Place, 161 Castlereagh Street, Sydney NSW 50% 31 Dec 16 Urbis 587.5 5.00%
DP1: 5.50%
Darling Park 1 & 2, Sydney NSW 50% 30 Sep 16 Knight Frank 812.5
DP2: 5.25%
Darling Park 3, Sydney NSW 100% 30 Sep 16 Knight Frank 412.5 5.50%
HSBC Centre, Sydney NSW 100% 31 Dec 16 Savills 467.0 5.75%
workplace [6] , Sydney NSW 100% 31 Dec 16 JLL 225.0 6.00%
2 Southbank Boulevard, Melbourne VIC 50% 30 Sep 16 JLL 230.5 5.75%
8 Exhibition Street, Melbourne VIC 50% 30 Sep 16 Knight Frank 209.0 5.25%
100 Queen Street, Melbourne VIC 100% 7 Dec 16 Colliers 274.5 5.13%
150 Collins Street, Melbourne VIC 100% 30 Sep 16 Savills 213.8 5.38%
530 Collins Street, Melbourne VIC 100% 31 Dec 16 Savills 576.3 5.63%
655 Collins Street, Melbourne VIC 100% 30 Sep 16 Savills 137.9 5.25%
750 Collins Street, Melbourne VIC 100% 30 Sep 16 Knight Frank 250.0 6.75%
CBW, Melbourne VIC 50% 31 Dec 16 JLL 336.3 5.63%
800/808 Bourke Street, Melbourne VIC 100% 31 Dec 16 Urbis 525.0 5.13%
One One One Eagle Street, Brisbane QLD 66.67% 31 Dec 16 Colliers 568.3 5.50%
Riverside Centre, Brisbane QLD 100% 30 Sep 16 Colliers 619.0 5.88%
545 Queen Street, Brisbane QLD 100% 31 Dec 16 JLL 68.5 7.50%
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OFFICE PORTFOLIO

Income and Fair Value Schedule

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GPT Equity Interest in GWOF represents GPT’s equity accounted interest in the net assets of the Fund, including net revaluations of investment property and mark to market movements of financial instruments. Net income for the 12 months to 31 December 2016 represents GPT’s share of FFO for the period.

Office Sustainability

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NABERS Energy Rating (including Green Power) NABERS Water Rating
2008 2009 2010 2011 2012 2013 2014 2015 2016 2008 2009 2010 2011 2012 2013 2014 2015 2016
GPT Portfolio
Australia Square, Sydney (Tower) 4.0 4.5 5.0 4.5 4.0 4.0 4.0 4.5 4.5 3.5 4.0 4.0 4.0 4.0 3.0 3.0 3.5 3.5
Australia Square, Sydney (Plaza) 5.0 5.0 5.0 5.0 5.0 5.5 5.5 5.5 5.5 3.5 4.0 4.0 4.0 4.0 4.0 4.0 4.0 3.5
Citigroup Centre, Sydney 4.5 4.5 5.0 5.0 5.0 5.0 5.0 5.0 5.0 4.0 4.0 3.5 3.5 3.5 3.5 3.5 3.5 3.5
MLC Centre, Sydney 4.5 5.0 5.5 5.5 5.0 5.0 5.0 5.0 5.5 2.5 3.0 3.5 3.0 3.5 4.0 4.0 4.0 2.5
1 Farrer Place, Sydney (GMT) [1] 3.0 3.0 4.5 4.5 4.5 4.5 4.0 4.5 – n/a 2.5 4.0 4.0 3.5 n/a 3.5 3.0 –
1 Farrer Place, Sydney (GPT) 3.0 3.0 4.0 4.0 4.5 4.5 4.5 4.0 3.5 n/a 3.0 3.0 3.5 3.5 n/a 3.5 3.0 2.5
Melbourne Central, Melbourne 4.5 4.5 5.0 5.0 5.0 4.5 4.5 4.5 5.0 2.0 3.5 2.5 3.0 3.0 3.0 3.0 3.0 3.0
CBW, Melbourne – – – – – – 5.0/5.0 5.0/5.0 5.0/5.0 – – – – – – 4.5/4.5 4.5/4.5 4.5/4.5
One One One Eagle Street, Brisbane – – – – – – 5.5 5.5 5.5 – – – – – 4.5 4.5 4.5 4.5
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8 Exhibition Street, Melbourne

OFFICE PORTFOLIO

Office Sustainability (continued)

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NABERS Energy Rating (including Green Power) NABERS Water Rating
2008 2009 2010 2011 2012 2013 2014 2015 2016 2008 2009 2010 2011 2012 2013 2014 2015 2016
GWOF Portfolio
Liberty Place, 161 Castlereagh – – – – – – 5.0 5.0 5.0 – – – – – – – 3.5 3.5
Street, Sydney
Darling Park 1, Sydney 4.5 4.0 5.5 5.5 5.0 5.0 5.0 5.5 5.5 2.0 2.5 3.5 3.5 3.5 3.0 3.0 3.0 3.5
Darling Park 2, Sydney 5.0 5.0 5.0 5.5 5.0 5.5 5.5 5.5 6.0 3.0 3.0 3.5 3.0 3.0 3.5 3.5 3.5 3.0
Darling Park 3, Sydney 5.0 5.0 5.5 5.5 5.0 5.0 5.0 5.5 5.5 3.5 3.5 3.5 3.5 3.5 3.5 3.5 3.5 3.5
HSBC Centre, Sydney 3.5 3.5 4.0 4.5 5.0 5.0 5.0 5.0 5.5 3.0 3.0 2.5 2.5 3.5 3.0 3.0 3.5 3.0
workplace [6] , Sydney – – 5.5 5.5 5.0 5.0 5.0 5.5 5.5 – – 5.0 5.0 5.0 5.0 5.0 4.0 3.5
2 Southbank Boulevard, – – – – – 4.5 4.5 5.0 5.5 – – – – – 3.5 3.5 3.5 4.0
Melbourne
8 Exhibition Street, Melbourne – – – – – 4.5 4.5 4.5 4.5 – – – – – 3.5 4.0 4.5 3.5
100 Queen Street, Melbourne [2] – – – – – – – – 3.0 – – – – – – – – –
– – – – – – – – – – – – – – – – – –
150 Collins Street, Melbourne [3]
530 Collins Street, Melbourne 4.0 4.5 5.0 5.5 5.5 5.0 4.5 5.0 5.5 3.0 3.0 3.5 3.0 3.0 2.0 2.0 3.0 2.5
655 Collins Street, Melbourne – – – – – 4.5 4.5 4.0 5.0 – – – – – 5.5 5.5 4.5 3.5
750 Collins Street, Melbourne – – – – – 4.5 4.5 4.5 5.5 – – – – – 4.5 4.5 4.0 5.0
CBW, Melbourne – – – – – – 5.0/5.0 5.0/5.0 5.0/5.0 – – – – – – 4.5/4.5 4.5/4.5 4.5/4.5
800/808 Bourke Street,
4.5 5.0 5.0 4.5 5.0 5.0 5.0 5.0 5.5 3.0 3.0 2.5 2.5 2.5 3.0 3.0 3.5 3.0
Melbourne
One One One Eagle Street, – – – – – 5.5 5.5 5.5 5.5 – – – – – 4.5 4.5 4.5 4.5
Brisbane
Riverside Centre, Brisbane 5.0 5.0 5.0 5.0 5.0 5.0 5.0 5.0 5.5 3.5 3.5 3.5 3.0 3.5 3.5 3.5 3.5 3.5
545 Queen Street, Brisbane 5.0 5.0 5.0 5.0 5.0 5.0 5.0 5.0 5.5 3.5 3.5 3.5 3.0 3.5 3.5 3.5 3.5 2.5
Portfolio Average [4] 4.4 4.6 4.8 5.0 5.0 5.0 4.9 5.0 5.2 2.8 3.2 3.3 3.7 3.7 3.7 3.5 3.8 3.4
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Note: NABERS rating: 1 to 6 stars, 1 = poor performance, 6 = exceptional performance.

The 2016 NABERS ratings for this asset are in the process of being reassessed.
Asset acquired in 2016, energy rating is for whole of building including tenant effects.
Asset in the process of being rated, requiring 12 months post commissioning and occupancy data to be assessed.
Portfolio average is calculated based on the portfolio composition as at 31 December of each year.

Office Sustainability

Water (Total)	Emissions	Waste
Area NLA Litres/m2	kg CO2-e/m2	% Recycled/Reused
GPT Portfolio
Australia Square, Sydney 51,400 920	87	59%
Citigroup Centre, Sydney 73,200 665	73	67%
MLC Centre, Sydney 67,100 797	63	32%
1 Farrer Place, Sydney 84,600 702	94	62%
Melbourne Central Tower, Melbourne 65,600 639	43	17%
CBW, Melbourne 76,100 572	36	18%
One One One Eagle Street, Brisbane 63,700 519	34	37%

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MLC Centre, Sydney

OFFICE PORTFOLIO

Office Sustainability (continued)

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Water (Total) Emissions Waste
Area NLA Litres/m [2] kg CO2-e/m [2] % Recycled/Reused
GWOF Portfolio
Liberty Place, 161 Castlereagh Street, Sydney 56,400 819 57 62%
Darling Park 1 & 2, Sydney 101,900 780 36 59%
Darling Park 3, Sydney 29,800 734 30 55%
HSBC Centre, Sydney 37,300 806 60 39%
workplace [6] , Sydney 16,300 474 35 47%
2 Southbank Boulevard, Melbourne 53,500 566 35 61%
8 Exhibition Street, Melbourne 44,600 571 66 50%
100 Queen Street, Melbourne¹ 34,900 n/a n/a n/a
150 Collins Street, Melbourne 19,100 549 46 25%
530 Collins Street, Melbourne 65,700 576 46 46%
655 Collins Street, Melbourne 16,600 611 53 36%
750 Collins Street, Melbourne 37,300 288 31 38%
CBW, Melbourne 76,100 572 36 18%
800/808 Bourke Street, Melbourne 59,600 547 14 30%
One One One Eagle Street, Brisbane 63,700 519 34 37%
Riverside Centre, Brisbane 51,700 617 83 55%
545 Queen Street, Brisbane 13,100 1,745 39 26%
Portfolio Average 669 51 49%
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Asset acquired in 2016 and in the process of being assessed.

Office – Sydney CBD

Strongest performing market in terms of rental growth.
Robust prime grade demand matched a large level of net supply, resulting in a stable vacancy rate for the year.
Solid face rental growth and tightening incentives led to strong effective rental growth.
Upper prime cap rates reached new all time lows.

Sydney CBD: Demand, Supply & Vacancy (Q416)

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300,000 12.0%
200,000 Vacancy 7.7% 9.0%
Rate (RHS) 6.0%
100,000 83k
3.0%
82k
0 0.0%
-100,000 Net Supply -3.0%
(LHS) -6.0%
-200,000 Net Absorption
(LHS) -9.0%
-300,000 -12.0%
sqm pa
Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17
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$1,000 Sydney CBD: Rents and Incentives (Q416) $962 40%
(+9 . 5%)
$900 35%
$800 Net Face
Rent (LHS) 30%
25 . 0%
$700 ( - 468bp) 25%
$600 Incentives (RHS) $616
$500 Net Effective (+22 . 5%) 20%
Rent (LHS)
$400 15%
$300 10%
$/sqm pa
Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Dec-18
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Sydney CBD: Upper & Lower Prime Yields (Q416)

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9%
8%
Lower Prime
7%
6%
5.8%
Upper Prime
5% 4.88%
4%
Yield
Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17
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JLL Research Q4 2016, GPT Research.

OFFICE PORTFOLIO

Office – Melbourne CBD

Melbourne was the second strongest performing market in 2016 based on rental growth.
Demand significantly exceeded net supply (189,000 vs. 107,000 sqm) during 2016 driving the vacancy rate down from 10.0% to 8.1%.
Face rental growth responded in the second half of 2016 growing 8.2% and incentives started tightening after peaking in Q4 2015.

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Melbourne CBD: Demand, Supply & Vacancy (Q416)
300,000 12.0%
250,000 Vacancy 8.1% 10.0%
Rate (RHS)
200,000 8.0%
Net Supply 189k
150,000 (LHS) 6.0%
100,000 4.0%
107k
50,000 2.0%
0 0.0%
-50,000 Net Absorption -2.0%
(LHS)
-100,000 -4.0%
sqm pa
Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17
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Melbourne CBD: Rents and Incentives $/sqm pa (Q416)
$550 45%
$504
$500 (+8 . 9%) 40%
$450 35%
Net Face 31 . 8%
$400 Rent (LHS) ( - 157bps) 30%
$350 Incentives 25%
(RHS) $312
$300 (+13 . 0%) 20%
$250 Net Effective 15%
Rent (LHS)
$200 10%
$/sqm pa
Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Dec-18
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Melbourne CBD: Upper & Lower Prime Yields (Q416)
9%
Lower Prime
8%
7%
6.3%
6% Upper Prime
5% 5.0%
4%
Yield
Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17
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JLL Research Q4 2016, GPT Research.

Office – Brisbane CBD

The Brisbane CBD continued to show early signs of leasing recovery during 2016.
Supply exceed demand during 2016, resulting in a rising vacancy rate and tenant incentives.
However, with limited new supply in the near term and recovering demand, the vacancy rate is forecast to peak in early 2017.

Brisbane CBD: Demand, Supply & Vacancy (Q416)

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250,000 17.2% 20.0%
Vacancy
200,000 Rate (RHS) 16.0%
150,000 12.0%
100,000 Net Supply 8.0%
(LHS) 78k
50,000 4.0%
42k
0 0.0%
-50,000 Net -4.0%
-100,000 Absorption -8.0%
(LHS)
-150,000 -12.0%
JLL Research Q4 2016, GPT Research.
sqm pa
Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17
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Brisbane CBD: Rents and Incentives (Q416)

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$800 40%
36 . 4%
$700 Net Face (+181bp) 35%
$600 Rent (LHS) $573 30%
(+0 . 7%)
$500 25%
Incentives (RHS)
$400 20%
$300 Net Effective $266 15%
$200 Rent (LHS) ( - 3 . 2%) 10%
$100 5%
$0 0%
$/sqm pa
Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Dec-18
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Brisbane CBD: Upper & Lower Prime Yields (4Q16)

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9%
Lower Prime
8%
7.5%
7%
6% Upper Prime
5.5%
5%
4%
Yield
Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17
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OFFICE PORTFOLIO

Metropolitan & Mixed Use Opportunities

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Parramatta Camellia
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Second largest CBD in NSW
Draft West Central District
Plan exhibited late 2016
23km west of Sydney CBD
Camellia earmarked as
Regional centre for Greater Western Sydney’s est. population of 1.3m
“Major Mixed-Use Precinct” within Priority Growth Area
Office market comprises • GPT holds 8ha land parcel with c.680,000sqm of space expected change to mixed-use in Draft Land Use Plan exhibited
• GPT own a site on corner Phillip St and Smith St with in 2015 commercial development • Authorities currently finalising potential of approx. wider infrastructure plans
28,000sqm (GLA)
Draft rezoning expected to be exhibited mid-2017 and finalised 1st half 2018

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Sydney Olympic Park
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2030 Draft Masterplan open for public comment
Vision is for Sydney Olympic Park to become a “Super Precinct” within the Greater Parramatta to Olympic Peninsula Priority Growth Area
Authorities currently finalising the wider infrastructure and transport plans
GPT holds 5.2ha within a future “Town Centre” precinct
Masterplan gazettal expected in the 2nd half of 2017

2016 ANNUAL RESULT Logistics Portfolio

Logistics Portfolio Overview

GPT’s logistics portfolio consists of ownership in 24 high quality logistics and business park assets located across Australia’s Eastern Seaboard.

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NT
QLD
Brisbane
WA
2
SA
NSW Sydney
19
VIC
3 Melbourne
l Number of assets in each state
TAS
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New South Wales

Rosehill Business Park, Camellia
10 Interchange Drive, Eastern Creek
16-34 Templar Road, Erskine Park
36-52 Templar Road, Erskine Park
54-70 Templar Road, Erskine Park
67-75 Templar Road, Erskine Park
29-55 Lockwood Road, Erskine Park
407 Pembroke Road, Minto (50%)
4 Holker Street, Newington
83 Derby Street, Silverwater
3 Figtree Drive, Sydney Olympic Park
5 Figtree Drive, Sydney Olympic Park
7 Figtree Drive, Sydney Olympic Park
6 Herb Elliott Avenue, Sydney Olympic Park
8 Herb Elliott Avenue, Sydney Olympic Park
Quad 1, Sydney Olympic Park

Victoria

Citiwest Industrial Estate, Altona North
Citiport Business Park, Port Melbourne
Austrak Business Park, Somerton (50%)

Queensland

16-28 Quarry Road, Yatala
59 Forest Way, Karawatha
Quad 4, Sydney Olympic Park
372-374 Victoria Street, Wetherill Park
38 Pine Road, Yennora

Note: All totals and averages are based on GPT’s balance sheet portfolio.

LOGISTICS PORTFOLIO

Logistics Portfolio Summary

The logistics portfolio delivered a Total Portfolio Return of 10.8%, underpinned by a high occupancy level of 95.3% and a long weighted average lease expiry of 7.9 years.

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Top Ten Tenants [1]
As at 31 December 2016
Australian
Rand Pharmaceutical
Wesfarmers Toll Transport TNT Australia Industries
18.1% 7.6% 6.2% 5.7% 4.7%
4.1% 4.1% 4.0% 3.5% 2.8%
Schenker Goodman Vodafone Super Cheap ASICS
Australia Fielder Auto
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Key Operating Metrics As at 31 December 2016

	2016	2015
Number of Assets2	24	31
Portfolio Value3	$1,404.8m	$1,345.6m4
Comparable Net Income Growth	1.4%	0.7%
Occupancy5	95.3%	92.3%
Weighted Average Lease Expiry	7.9 years	8.2 years

Consolidated properties are counted individually.
Excludes land and development held in GPTMH.
Includes equity interest in GMF which was divested on 1 July 2016.
Includes Signed Leases.

Geographic Weighting As at 31 December 2016

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NSW
65%
VIC
24%
QLD
11%
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Based on gross rent.

Lease Expiry Profile

Lease Expiry Profile (by Income)

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(by Income) 37%
13%
12% 12%
11%
7%
3% 3%
2%
0% 0%
2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027+
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Note: Includes Signed Leases.

LOGISTICS PORTFOLIO

Logistics Portfolio Summary

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Logistics Occupancy
GLA (100% 31 Dec 16 31 Dec 16 External or Inc. WALE
Interest) Fair Value Cap Rate Internal Inc. Signed Heads of by Income
State Ownership (sqm) ($m) (%) Valuation Actual Leases Agreement (Years)
GPT Portfolio
Rosehill Business Park, Camellia NSW 100% 41,900 79.4 6.50% External 100.0% 100.0% 100.0% 1.8
10 Interchange Drive, Eastern Creek NSW 100% 15,100 32.0 6.75% External 100.0% 100.0% 100.0% 3.5
16-34 Templar Road, Erskine Park NSW 100% 15,200 54.5 6.00% Internal 100.0% 100.0% 100.0% 12.5
36-52 Templar Road, Erskine Park NSW 100% 24,500 97.0 5.75% Internal 100.0% 100.0% 100.0% 18.1
54-70 Templar Road, Erskine Park NSW 100% 21,000 138.0 6.00% Internal 100.0% 100.0% 100.0% 18.5
67-75 Templar Road, Erskine Park NSW 100% 12,700 23.5 6.50% External 100.0% 100.0% 100.0% 5.1
29-55 Lockwood Road, Erskine Park NSW 100% 32,200 85.5 5.75% Internal 100.0% 100.0% 100.0% 13.0
407 Pembroke Road, Minto NSW 50% 15,300 26.5 7.25% Internal 100.0% 100.0% 100.0% 2.9
4 Holker Street, Newington NSW 100% 7,400 29.0 6.50% External 100.0% 100.0% 100.0% 0.5
83 Derby Street, Silverwater NSW 100% 17,000 31.8 6.25% External 100.0% 100.0% 100.0% 9.0
3 Figtree Drive, Sydney Olympic Park¹ NSW 100% 6,800 24.0 n/a Internal 100.0% 100.0% 100.0% 3.0
5 Figtree Drive, Sydney Olympic Park NSW 100% 8,800 26.5 7.50% Internal 100.0% 100.0% 100.0% 3.4
7 Figtree Drive, Sydney Olympic Park¹ NSW 100% 3,500 15.0 n/a Internal 100.0% 100.0% 100.0% 0.5
6 Herb Elliott Avenue, Sydney Olympic Park¹ NSW 100% 4,100 11.1 n/a Internal 26.8% 26.8% 26.8% 1.3
8 Herb Elliott Avenue, Sydney Olympic Park¹ NSW 100% 3,300 11.3 n/a Internal 100.0% 100.0% 100.0% 3.1
Quad 1, Sydney Olympic Park NSW 100% 4,500² 23.4 7.25% Internal 100.0% 100.0% 100.0% 3.0
Quad 4, Sydney Olympic Park NSW 100% 8,100² 49.3 6.50% Internal 100.0% 100.0% 100.0% 13.2
372-374 Victoria Street, Wetherill Park NSW 100% 20,500 21.8 8.00% External 100.0% 100.0% 100.0% 3.1
38 Pine Road, Yennora NSW 100% 33,200 52.2 7.50% Internal 100.0% 100.0% 100.0% 2.2
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State Ownership GLA (100% Interest) (sqm) 31 Dec 16 Fair Value ($m) 31 Dec 16 Cap Rate (%) External or Internal Valuation	Logistics Occupancy WALE by Income (Years) Actual Inc. Signed Leases Inc. Heads of Agreement
Citiwest Industrial Estate, Altona North VIC 100% 90,100 70.6 7.14% External	86.4% 100.0% 100.0% 2.4
Citiport Business Park, Port Melbourne VIC 100% 27,000 71.0 7.50% Internal	94.2% 94.2% 94.2% 2.4
Austrak Business Park, Somerton VIC 50% 210,000 165.4 6.29% External	95.1% 95.1% 95.1% 7.8
16-28 Quarry Road, Yatala QLD 100% 40,800 43.2 8.25% External	55.1% 55.1% 55.1% 3.2
59 Forest Way, Karawatha QLD 100% 44,000 102.5 6.25% Internal	100.0% 100.0% 100.0% 12.2
Total 706,900 6.54%	93.2% 95.3% 95.3% 7.9

Valued on a rate per sqm of potential Gross Floor Area (GFA). Allowances for costs of demolition and deferment of development have been made. The Present Value (PV) of the current lease has then been added to the value. 2. NLA.

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Citiwest Industrial Estate, Altona North, VIC

LOGISTICS PORTFOLIO

External Valuation Summary

100% of the logistics portfolio was valued externally in the 12 months to 31 December 2016.

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Valuation Capitalisation Rate
State Ownership Date Valuer ($m) (%)
GPT Portfolio
Rosehill Business Park, Camellia NSW 100% 31 Dec 16 CBRE 79.4 6.50%
10 Interchange Drive, Eastern Creek NSW 100% 31 Dec 16 Knight Frank 32.0 6.75%
16-34 Templar Road, Erskine Park NSW 100% 30 Jun 16 CBRE 54.5 6.00%
36-52 Templar Road, Erskine Park NSW 100% 30 Jun 16 CBRE 97.0 5.75%
54-70 Templar Road, Erskine Park NSW 100% 30 Jun 16 JLL 138.0 6.00%
67-75 Templar Road, Erskine Park NSW 100% 31 Dec 16 Savills 23.5 6.50%
29-55 Lockwood Road, Erskine Park NSW 100% 30 Jun 16 CBRE 85.5 5.75%
407 Pembroke Road, Minto NSW 50% 30 Jun 16 m3 26.5 7.25%
4 Holker Street, Newington NSW 100% 31 Dec 16 CBRE 29.0 6.50%
83 Derby Street, Silverwater NSW 100% 31 Dec 16 JLL 31.8 6.25%
3 Figtree Drive, Sydney Olympic Park¹ NSW 100% 30 Jun 16 Knight Frank 24.0 n/a
5 Figtree Drive, Sydney Olympic Park NSW 100% 30 Jun 16 Knight Frank 26.6 7.50%
7 Figtree Drive, Sydney Olympic Park¹ NSW 100% 30 Jun 16 Knight Frank 15.0 n/a
6 Herb Elliott Avenue, Sydney Olympic Park¹ NSW 100% 30 Jun 16 Knight Frank 11.0 n/a
8 Herb Elliott Avenue, Sydney Olympic Park¹ NSW 100% 30 Jun 16 Knight Frank 11.3 n/a
Quad 1, Sydney Olympic Park NSW 100% 30 Jun 16 Savills 23.0 7.25%
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					Valuation	Capitalisation Rate
	State	Ownership	Date	Valuer	($m)	(%)
Quad 4, Sydney Olympic Park	NSW	100%	30 Jun 16	Savills	49.3	6.50%
372-374 Victoria Street, Wetherill Park	NSW	100%	31 Dec 16	CBRE	21.8	8.00%
38 Pine Road, Yennora	NSW	100%	30 Jun 16	CBRE	52.0	7.50%
Citiwest Industrial Estate, Altona North	VIC	100%	31 Dec 16	CBRE	70.6	7.14%
Citiport Business Park, Port Melbourne	VIC	100%	30 Jun 16	Savills	71.0	7.50%
Austrak Business Park, Somerton	VIC	50%	31 Dec 16	m3	165.4	6.29%
16-28 Quarry Road, Yatala	QLD	100%	31 Dec 16	CBRE	43.2	8.25%
59 Forest Way, Karawatha	QLD	100%	30 Jun 16	CBRE	102.5	6.25%

Valued on a rate per sqm of potential Gross Floor Area (GFA). Allowances for costs of demolition and deferment of development have been made. The Present Value (PV) of the current lease has then been added to the value.

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Austrak Business Park, Somerton, VIC

LOGISTICS PORTFOLIO

Income and Fair Value Schedule

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Income Fair Value Reconciliation
12 months to
31 Dec ($m) Capex
Fair Value Development Maintenance Lease Net Other Fair Value % of
31 Dec 15 Capex Capex Incentives Acquisitions Sales Revaluations Adjustments 31 Dec 16 Portfolio
2015 2016 Variance ($m) ($m) ($m) ($m) ($m) ($m) ($m) ($m) ($m) (%)
GPT Portfolio
Rosehill Business Park, Camellia 5.9 6.2 0.3 79.0 0.2 0.0 0.0 0.0 0.0 0.2 0.0 79.4 5.6
10 Interchange Drive, Eastern Creek 2.4 2.5 0.1 30.8 0.0 0.0 0.0 0.0 0.0 1.2 0.0 32.0 2.3
16-34 Templar Road, Erskine Park 3.5 3.6 0.1 51.5 0.0 0.0 0.0 0.0 0.0 3.0 0.0 54.5 3.9
36-52 Templar Road, Erskine Park 5.0 5.6 0.6 84.3 (0.7) 0.0 0.0 0.0 0.0 13.3 0.0 97.0 6.9
54-70 Templar Road, Erskine Park 5.2 10.0 4.8 135.8 (3.6) 0.0 0.0 0.0 0.0 5.9 0.0 138.0 9.8
67-75 Templar Road, Erskine Park 1.7 1.7 0.0 22.5 0.0 0.0 0.0 0.0 0.0 1.0 0.0 23.5 1.7
29-55 Lockwood Road, Erskine Park 4.9 5.0 0.1 81.5 (0.4) 0.0 0.0 0.0 0.0 4.4 0.0 85.5 6.1
407 Pembroke Road, Minto 2.4 2.4 0.1 25.0 0.0 0.0 0.0 0.0 0.0 1.5 0.0 26.5 1.9
4 Holker Street, Newington 3.4 3.2 (0.2) 30.5 0.0 (0.1) 1.2 0.0 0.0 (2.5) 0.0 29.0 2.1
83 Derby Street, Silverwater 2.4 2.1 (0.3) 29.3 0.0 0.1 2.1 0.0 0.0 0.3 0.0 31.8 2.3
3 Figtree Drive, Sydney Olympic Park 2.0 2.0 0.1 21.0 0.0 0.0 0.0 0.0 0.0 3.0 0.0 24.0 1.7
5 Figtree Drive, Sydney Olympic Park 2.0 2.2 0.2 23.8 0.0 0.0 0.0 0.0 0.0 2.8 0.0 26.5 1.9
7 Figtree Drive, Sydney Olympic Park 1.0 1.1 0.1 13.8 0.0 0.0 0.0 0.0 0.0 1.2 0.0 15.0 1.1
6 Herb Elliott Avenue, Sydney Olympic Park 0.2 0.1 (0.2) 13.2 0.2 0.0 0.1 0.0 0.0 (2.4) 0.0 11.1 0.8
8 Herb Elliott Avenue, Sydney Olympic Park 0.8 0.8 0.0 10.6 0.0 0.0 0.0 0.0 0.0 0.7 0.0 11.3 0.8
Quad 1, Sydney Olympic Park 1.0 1.7 0.7 24.9 0.0 0.7 0.3 0.0 0.0 (2.5) 0.1 23.4 1.7
Quad 4, Sydney Olympic Park 2.9 2.7 (0.1) 41.4 0.0 0.1 5.9 0.0 0.0 1.3 0.6 49.3 3.5
372-374 Victoria Street, Wetherill Park 1.9 1.9 0.0 19.0 0.0 3.2 0.0 0.0 0.0 (0.5) 0.0 21.8 1.5
38 Pine Road, Yennora 4.1 3.8 (0.3) 50.5 0.1 0.0 1.5 0.0 0.0 0.2 0.0 52.2 3.7
Citiwest Industrial Estate, Altona North 4.7 3.8 (0.9) 66.6 0.0 2.5 3.5 0.0 0.0 (2.4) 0.5 70.6 5.0
Citiport Business Park, Port Melbourne 4.2 5.1 0.9 68.4 0.0 0.6 0.8 0.0 0.0 1.1 0.0 71.0 5.1
Austrak Business Park, Somerton 9.6 9.9 0.4 157.0 1.5 0.5 0.4 0.0 0.0 5.5 0.4 165.4 11.8
16-28 Quarry Road, Yatala 4.3 4.5 0.2 47.4 0.0 0.3 0.0 0.0 0.0 (4.5) 0.0 43.2 3.1
59 Forest Way, Karawatha 6.6 6.8 0.2 98.6 0.0 0.0 0.0 0.0 0.0 3.9 0.0 102.5 7.3
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GPT Equity Interest in GMF represents GPT’s equity accounted interest in the net assets of the Fund, including net revaluations of investment property and mark to market movements of financial instruments. Net income represents GPT’s share of FFO for the period to 1 July 2016, when the interest was divested.
Excludes $4.3 million which was attributable to 16 Holt Street, Pinkenba and 15-19 Berry Street, Granville, which were sold in 2015.

LOGISTICS PORTFOLIO

Logistics – Sydney

Sydney appears best placed for rental growth.
2016 take-up was the strongest in 19 years.
Increased competition amongst developers and limited serviced land has contributed to upward pressure on land values.
Customer demand is expected to be strong in Western locations as Government investment in infrastructure improves supply chain efficiency.

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Sydney Industrial: Total vacant stock by grade ('000 sqm)
700
Prime
600
Secondary
500
400
300
200
100
-
Oct-11 Apr-12 Oct-12 Apr-13 Oct-13 Apr-14 Oct-14 Apr-15 Oct-15 Apr-16 Oct-16
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sqm Sydney Industrial Supply('000 sqm)
700
600 10 year
average
500
400
300
200
100
0
2012 2013 2014 2015 2016
sqm Sydney Industrial Demand ('000 sqm)
1,000
900
800 10 year
700 average
600
500
400
300
200
100
0
2012 2013 2014 2015 2016
All Other Pre-Lease and Design & Construct 10 yr Avg.
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Source: Knight Frank, JLL.

Logistics – Melbourne

Take-up remained strong in 2016 with a greater proportion satisfied by existing assets.
Supply levels were high, as 2015 pre-leases reached practical completion.
Vacancy levels remain elevated, particularly in the West.
High incentives continue to add pressure on rental market.

Melbourne Industrial: Vacant stock by grade ('000 sqm)

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700
Prime
600
Secondary
500
400
300
200
100
-
Oct-11 Apr-12 Oct-12 Apr-13 Oct-13 Apr-14 Oct-14 Apr-15 Oct-15 Apr-16 Oct-16
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sqm Melbourne Industrial Supply('000 sqm)
700
600
10 year
500 average
400
300
200
100
0
2012 2013 2014 2015 2016
sqm Melbourne Industrial Demand ('000 sqm)
900
800
700 10 year
600 average
500
400
300
200
100
0
2012 2013 2014 2015 2016
All Other Pre-Lease and Design & Construct 10 yr Avg.
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Source: Knight Frank, JLL.

LOGISTICS PORTFOLIO

Logistics – Brisbane

Subdued demand in 2016 with higher vacancy has led to increased pressure on rents and incentives.
Supply was muted in 2016 as developers wait to secure pre-leases before activating projects.

Brisbane Industrial: Total vacant stock by grade ('000 sqm)

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700
Prime
600
Secondary
500
400
300
200
100
-
Oct-11 Apr-12 Oct-12 Apr-13 Oct-13 Apr-14 Oct-14 Apr-15 Oct-15 Apr-16 Oct-16
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sqm Brisbane Industrial Supply('000sqm)
700
600
500 10 year
average
400
300
200
100
0
2012 2013 2014 2015 2016
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sqm Brisbane Industrial Demand ('000sqm)
900
800
700
10 year
600
average
500
400
300
200
100
0
2012 2013 2014 2015 2016
All Other Pre-Lease and Design & Construct 10 yr Avg.
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Source: Knight Frank, JLL.

Sydney Industrial Market

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GPT Industrial Assets
[Erskine Park]
[Eastern Creek]
1 Erskine Park
2 Eastern Creek
3 Huntingwood Dr, Huntingwood
4 Victoria St, Wetherill Park
5 Pine Rd, Yennora
6 Rosehill Business Park, Camellia
7 Derby St, Silverwater
8 Holker St, Newington
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9 Sydney Olympic Park
10 Pembroke Rd, Minto
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LOGISTICS PORTFOLIO

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Rand, Erskine Park, Sydney

2016 ANNUAL RESULT Development

Development Overview

GPT has $0.6 billion in development projects currently underway across the retail, office and logistics sectors, with a significant pipeline of future development opportunities on behalf of assets owned on balance sheet and in GPT’s funds.

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Forecast Forecast Cost to Complete Target
Total Cost Completion
Sector Ownership Interest (%) ($m) GPT’s Share ($m) Fund’s Share ($m) Date
Underway
Macarthur Square, NSW Retail 50% GWSCF 120 0 34 2H 2017
Wollongong Central, NSW Retail 100% GWSCF 68 0 61 2H 2017
Sunshine Plaza, QLD Retail 50% GPT 203 189 0 2H 2018
4 Murray Rose Avenue, Sydney Olympic Park, NSW Office 100% GPT 96 93 0 2H 2018
Lot 2012 Eastern Creek Drive, Eastern Creek, NSW Logistics 100% GPT 42 23 0 2H 2017
18-24 Abbott Road, Seven Hills, NSW Logistics 100% GPT 30 15 0 1H 2017
1A Huntingwood, Huntingwood, NSW Logistics 100% GPT 39 10 0 1H 2017
55 Whitelaw Place, Richlands (Metroplex), QLD Logistics 100% GPT 15 8 0 1H 2017
Total Underway 613 338 95
Planned
Rouse Hill Town Centre, NSW Retail 100% GPT 250 250 0
Chirnside Park, VIC Retail 100% GWSCF 85 0 85
Melbourne Central, VIC Retail 100% GPT 110 110 0
Casuarina Square, NT Retail 50% GPT / 50% GWSCF 110 55 55
MLC Centre, NSW Office 50% GPT 35 35 0
93-95 Phillip Street & 32 Smith Street, Parramatta, NSW Office 100% GPT 212 209 0
Austrak Business Park, Minto, NSW Logistics 50% GPT 15 10 0
Lot 21 Old Wallgrove Road, Eastern Creek, NSW Logistics 100% GPT 48 31 0
1 Lockwood Road, Erskine Park, NSW Logistics 100% GPT 7 4 0
Lot 11, Templar Road (576B Mamre Road), Erskine Park, NSW Logistics 50% GPT 13 10 0
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Excludes development capex for minor asset positioning and remixing works, and the MLC Centre façade works.

100

DEVELOPMENT

101

DEVELOPMENT

Development Overview (continued)

Development Overview(continued)
Sector Ownership Interest (%) Forecast Total Cost ($m)	Forecast Cost to Complete Target Completion Date GPT’s Share ($m) Fund’s Share ($m)
Austrak Business Park,Somerton,VIC Logistics 50% GPT 67	48 0
Metroplex,Wacol,QLD Logistics 50% GPT 137	83 0
1B Huntingwood,Huntingwood,NSW Logistics 100% GPT 19	14 0
WembleyBusiness Park,Berrinba,QLD Logistics 100% GPT 113	79 0
Total Planned 1,221	938 140
Future Pipeline
Highpoint ShoppingCentre,VIC Retail 16.67% GPT / 58.33% GWSCF 334	74 260
Parkmore ShoppingCentre,VIC Retail 100% GWSCF 30	0 30
Other 1,620	700 920
Total Future Pipeline 1,984	774 1,210
Total Underway,Planned and Future Pipeline 3,818	2,050 1,445

Excludes development capex for minor asset positioning and remixing works, and the MLC Centre façade works.

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Charlestown Square, NSW

2016 ANNUAL RESULT Funds Management

GPT Funds Management Summary

The Group’s Funds Management platform provides GPT with an important source of income through funds management, property management and development management fees. In addition, the platform provides GPT investors with access to a steady income stream through a significant co-investment in the Group’s managed funds. GPT’s Funds Management platform is made up of the GPT Wholesale Office Fund (GWOF) and the GPT Wholesale Shopping Centre Fund (GWSCF).

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Fund Summary as at 31 December 2016 GWOF GWSCF
Number of Assets 18 8
Total Assets $6.6b $3.8b
Net Gearing 17.8% 9.4%
One Year Equity IRR (post-fees) 14.5% 11.5%
Fund Details as at 31 December 2016
GPT's Ownership Interest 24.5% 25.3%
GPT's Investment $1,283.1m $822.7m
Established July 2006 March 2007
Weighted Average Capitalisation Rate 5.55% 5.46%
Portfolio Occupancy 96.6% 99.2%
GPT’s Share of Fund FFO $59.4m $38.7m
GPT Base Management Fee $28.3m $17.2m
GPT Performance Fee $28.1m $0.0m
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Wollongong Central, New South Wales

102

FUNDS MANAGEMENT

103

FUNDS MANAGEMENT

GPT Funds Management Overview

Historical Growth in Funds under Management

Growth in Funds under Management for the 12 months to 31 December 2016

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$10.4b
$9.6b $10.0b
$7.1b
$6.6b
$5.3b $5.6b
Dec 2010 Dec 2011 Dec 2012 Dec 2013 Dec 2014 Dec 2015 Dec 2016
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$0.6b ($1.1b)
$0.9b
$10.0b $10.4b
Dec 15 FUM Developments Acquisitions Divestments Dec 16 FUM
& Asset Growth
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GWOF performance versus benchmark

GWSCF performance versus benchmark

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14.614.3 13.9 14.9
13.4
13.011.7 11.4 11.8 11.9 12.6 11.612.3
10.5 10.6
9.6 9.5 9.8 9.6 9.6
7.7
5.8 5.1 5.7
3.9
GWOF Mercer / IPD Peer 1 Peer 2 Peer 3
All Office Index
Total return (%)
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1 Year 3 Years 5 Years 7 Years 9 Years

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11.6
10.3
7.5 7.6 8.1 9.8 9.1 8.7 8.9 7.2 9.7 9.9 9.1 9.2 7.8 8.2 7.8 8.2 7.1 9.8 9.7 9.5 6.9
6.0
5.7
GWSCF Mercer / IPD Peer 1 Peer 2 Peer 3
All Retail Index
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1 Year 3 Years 5 Years 7 Years 9 Years
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Source: Mercer / IPD.

GWOF Capital Management

Total borrowings for the Fund at 31 December 2016 were $1,205 million resulting in net gearing of 17.8%.

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750 Collins Street, Melbourne

GWOF Capital Management Summary as at 31 December 2016

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Net Gearing 17.8%
Weighted Average Cost of Debt 4.4% [1]
Fees and Margins (included in above) 1.6% [1]
Weighted Average Debt Term 3.9 years
Drawn Debt Hedging 63%
Weighted Average Hedge Term 3.5 years
GWOF Loan Facilities Facility Limit ($m) Facility Expiry Amount Currently Drawn ($m)
Bilateral Facility 50.0 1 January 2018 [2] 50.0
Bilateral Facility 50.0 29 January 2018 [2] 50.0
Bilateral Facility 50.0 30 September 2018 50.0
Bilateral Facility 160.0 2 October 2018 160.0
Bilateral Facility 50.0 29 September 2019 50.0
Bilateral Facility 150.0 30 November 2019 150.0
Bilateral Facility 150.0 31 January 2020 150.0
Bilateral Facility 50.0 29 September 2020 0.0
Bilateral Facility 100.0 2 October 2020 100.0
Bilateral Facility 100.0 2 October 2020 100.0
Bilateral Facility 150.0 30 May 2021 45.0
Forward Start Facility 100.0 30 September 2021 0.0
Bilateral Facility 150.0 25 November 2021 150.0
Medium Term Notes 150.0 18 May 2022 150.0
Total 1,460.0 1,205.0
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Average for the six months to 31 December 2016.
Quarterly extension facility.

104

FUNDS MANAGEMENT

105

FUNDS MANAGEMENT

GWSCF Capital Management

Total borrowings for the Fund at 31 December 2016 were $373 million resulting in net gearing of 9.4%.

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Casuarina Square, Darwin

GWSCF Capital Management Summary as at 31 December 2016

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Net Gearing 9.4%
Weighted Average Cost of Debt 4.6% [1]
Fees and Margins (included in above) 1.6% [1]
Weighted Average Debt Term 3.7 years
Drawn Debt Hedging 83%
Weighted Average Hedge Term 3.2 years
GWSCF Loan Facilities Facility Limit ($m) Facility Expiry Amount Currently Drawn ($m)
Medium Term Notes 200.0 13 November 2017 200.0
Bilateral Facility 50.0 1 January 2018 [2] 50.0
Bilateral Facility 50.0 1 October 2018 0.0
Forward Start Facility 175.0 30 November 2018 0.0
Bilateral Facility 110.0 1 July 2019 110.0
Bilateral Facility 100.0 30 September 2019 0.0
Forward Start Facility 75.0 31 October 2019 0.0
Forward Start Facility 50.0 1 January 2020 0.0
Bilateral Facility 100.0 1 July 2020 0.0
Bilateral Facility 50.0 1 July 2020 4.0
Bilateral Facility 50.0 1 October 2020 9.0
Bilateral Facility 75.0 30 October 2020 0.0
Forward Start Facility 75.0 29 April 2021 0.0
Total 1,160.0 373.0
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Average for the six months to 31 December 2016.
Quarterly extension facility.

AI assistant

GPT GROUP — Annual Report 2017

65009_rns_2017-02-13_d5fe81d5-58a3-4321-bf64-5e421628483b.pdf

GPT Overview

GPT Portfolio Diversity

Retail Portfolio

Office Portfolio

Logistics Portfolio

GPT Portfolio Metrics

Across the three sectors, GPT has maintained high occupancy and a long WALE.

GPT Securityholder Overview

Glossary

Financial Summary

Results Summary

Funds From Operations to Adjusted Funds From Operations

NTA Movement

Capital Management Summary

Look Through Gearing

Debt

Sources of Drawn Debt

Debt Facilities

Current Debt Facilities as at 31 December 2016

Current Forward Start Debt Facilities

Debt Maturity Profile

Liquidity Profile

Liquidity Profile

Hedging Profile

Retail Portfolio Overview

New South Wales

GPT Owned

GWSCF Owned

Victoria

GPT Owned

GWSCF Owned

Northern Territory

GPT Owned

GWSCF Owned

Queensland

GPT Owned

1. Not Managed by GPT

Retail Portfolio Summary

Retail Portfolio Summary

Retail Sales Summary

Comparable Change in Retail Sales by Category

Retail Sales

Lease Expiry Profile

External Valuation Summary

Income and Fair Value Schedule

Retail Sustainability

Retail – Specialty MAT growth

Retail – Specialty MAT growth

Contribution by commodity group to 2.6% Specialty MAT growth[1]

Rouse Hill Town Centre

Office Portfolio Overview

New South Wales

GPT Owned

GWOF Owned

Victoria

GPT Owned

GWOF Owned

Queensland

GPT Owned

GWOF Owned

Office Portfolio Summary

Lease Expiry Profile

Office Portfolio Summary

External Valuation Summary

Income and Fair Value Schedule

Office Sustainability

Office Sustainability (continued)

Office Sustainability

Office Sustainability (continued)

Office – Sydney CBD

Office – Melbourne CBD

Office – Brisbane CBD

Brisbane CBD: Demand, Supply & Vacancy (Q416)

Brisbane CBD: Rents and Incentives (Q416)

Brisbane CBD: Upper & Lower Prime Yields (4Q16)

Metropolitan & Mixed Use Opportunities

Logistics Portfolio Overview

GPT GROUP Annual Report 2017