GPT GROUP — Capital/Financing Update 2010

Aug 22, 2010

THE GPT GROUP ANNOUNCES

23 August 2010

GPT to exit Newcastle and redirect capital to alternative development opportunities

The GPT Group (GPT) today announced it will withdraw from its proposed $600 million Newcastle development.

GPT CEO and Managing Director, Michael Cameron said: “I am disappointed Newcastle will miss out on this opportunity to rejuvenate its city centre and move towards becoming a truly world class city.

In a NSW Government Hunter Development Corporation Report released in March 2009, it was identified Newcastle was in need of a commitment from Government to invest in vital infrastructure in the city centre. A key component of the report endorsed creating a transit centre on the edge of the city and stopping the rail line at that point. The rail line cuts the city centre in half, creating a barrier between the city centre and the foreshore.

A lack of commitment from the Government to fully endorse the Hunter Development Corporation Report and ensure the renewal of the Newcastle city centre has led to GPT’s decision to exit its Newcastle land holdings.

“Without a multi-tiered approach to investing in the renewal of the Newcastle city centre, the city will never reach its potential. GPT’s $600 million proposed development was a key component of this revitalisation but we cannot make the transformation in isolation.

“GPT has been left with no other choice but to exit its investment in Newcastle.

“We know the Newcastle community will also be disappointed with this announcement and I urge people to understand we have a responsibility to our security holders and cannot indefinitely support the carrying costs of our land holdings in Newcastle, which are dilutive to GPT’s earnings.

“We have reached the point where there are better alternative development opportunities within the GPT portfolio that we must pursue on behalf of our security holders.

“GPT committed an enormous amount of time, money and effort to secure the development and our team fought hard for more than three years, alongside many Novocastrians, to seek support for the city’s renewal. We are all disappointed that the journey for GPT has had to stop here,” Mr Cameron said.

GPT remains invested in the Hunter and its $470 million redevelopment of Charlestown Square is on track to launch later this year. Charlestown Square will continue to be a fantastic asset for GPT, Newcastle and the Hunter region for many years. GPT invests for the long-term and has held Charlestown Square for over thirty years and has continued to evolve and build community elements into the Centre since it was constructed in 1979.

Contact details overleaf.

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For further information contact:

Mark Fookes Head of Retail 02 8239 3518 0412 279 833

Donna Byrne Samantha Taranto Head of Investor Group Media Manager Relations & Corporate 02 8239 3635 Affairs 0432 384 696 02 8239 3515 0401 711 542

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