GPT GROUP — Capital/Financing Update 2010

Oct 26, 2010

133 Castlereagh Street Sydney NSW 2000 T 02 9035 2000 F 02 8988 2000

www.stockland.com.au

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27 October 2010

ASX/Media Release

STOCKLAND EXITS GPT EXPOSURE

Stockland has exited its 13.1 per cent exposure to GPT Group through a book build at a price of $2.75 per security.

Stockland had an exposure to 243 million GPT securities, which were held in an off balance sheet derivative structure. The exposure was acquired in November 2008 at an average entry price of $3.60.

Managing Director Matthew Quinn said the exposure was acquired when GPT was in a weak financial position, was undergoing significant board and management change, and there was potential to use the stake to acquire GPT’s quality retail assets.

“Since we acquired the stake, GPT has restructured its balance sheet, strengthened its board and management and there is now little prospect of acquiring assets. It is therefore in the best interests of our securityholders to exit our position and focus on other growth opportunities,” Mr Quinn said.

“I am disappointed and regret the loss suffered by our securityholders. We are committed to building securityholder value through our 3-R strategy, focusing on our core strengths of Residential Communities, Retirement Living and Retail development.”

The financial impact of the transaction is outlined below.

	FY09	FY10	FY11	**Total **
Net cash payment1	($79m)	-	($129m)	($208m)
Net accounting profit/loss2	($286m)	$93m	($15m)	($208m)

1 The net cash payment represents the amounts settled with the derivative counterparty and excludes underwriting fees. 2 The accounting profit/loss is excluded from Underlying Profit as reported in the Group’s financial statements and excludes underwriting fees.

The transaction has no impact on the Group’s guidance of 7 per cent EPS growth for FY11. The Group’s gearing (net debt/TTA) will increase by 0.5% and NTA will decrease by around one cent.

Deutsche Bank AG was financial advisor and underwriter to the transaction.

For media enquiries contact For investor enquiries contact Karyn Munsie Katie Lennon Karyn Munsie Linda Assatoury EGM – Corporate Affairs Media Relations Manager EGM – Corporate Affairs Senior Manager Investor Relations Stockland Stockland Stockland Stockland T +61 (0)2 9035 2180 T +61 (0)2 9035 2552 T +61 (0)2 9035 2180 T +61 (0)2 9035 2553 M +61 (0)421 050 430 M +61 (0)406 316 907 M +61 (0)421 050 430 M +61 (0)402 283 769

Stockland Corporation Ltd ACN 000 181 733 Stockland Trust Management Ltd ACN 001 900 741 AFSL 241190 As Responsible Entity for Stockland Trust ARSN 092 897 348.