GPT GROUP — Interim / Quarterly Report 2005

Aug 3, 2005

2005 MID YEAR RESULTS PRESENTATION

Mid Year financial results

Internalisation update

Joint Venture update

Portfolio update

Group strategy

Application of A-IFRS results in less transparency

Cash flows and distributions unchanged, income statement materially different

Increases volatility in income statement

RESULT RECONCILIATION

Reconciliation of distributable amount	Actuals (\$m)
Profit after tax (A-IFRS)	66.2
Plus
Finance Costs	205.5
Internalisation costs and Other	44.3
Less
Fair Value and Revenue Adjustments	(76.4)
Net gain on disposal of properties	(9.3)
Equals
Amounts payable to security holders	230.3

STRONG OPERATING PERFORMANCE

	2002	2003	2004	2005 ** $(6 \text{ mths})$
Distribution (cps)	20.4	21.2	22.0	11.4
Growth	3.5%	3.9%	3.8%	4.6%
Earnings (cps)	20.4	21.6	21.3	11.4
Underlying growth*	3.6%	3.1%	3.1%	3.0%
NTA per security	\$2.60	\$2.73	\$3.02	\$3.03
1 Yr Return	12.8%	$8.2\%$	33.6%	11.2%

* Excludes the impact of the change in fee, performance fees paid and costs associated with the Lend Lease merger proposal, the Stockland takeover offer and internalisation proposal.

2005 MND YEAR RESULTS

** Growth based on previous corresponding period. Excludes the impact of the adoption of A-IFRS on the financial statements. Earnings per security is before fair value adjustments, recognition of rent frees, amortisation of lease incentives, profit on disposal of properties, costs associated with internalisation and finance costs to securityholders.

TRANSITION UPDATE

Internalisation

Management team established in MLC Centre 6 June

Continuity of management

All senior roles filled (existing GPT team)

General Manager, JV appointed

Systems/premises in place

Transaction costs in line with forecasts

Transition of retail centres/business 15 August

Retail team of approximately 180 retail specialists

(majority transfer 15 August)

Full inhouse capability across property management,

leasing & development

Recruitment commenced

*Note: from 30 June, Voyages will be consolidated in Group result

GPT BOARD

Board comprised of 8 members

Peter Joseph OAM (Chair)

Eric Goodwin

Malcolm Latham AM

Ken Moss

Brian Norris

Elizabeth Nosworthy AO

Ian Martin (new)

Nic Lyons (new)

Committees

Audit & Risk Management

Nomination and Remuneration Committee

JOINT VENTURE: ASSET UPDATE

\$1.1 billion of seed assets acquired on 30 June

A\$450m capital committed

Assets performing to expectations

German Residential Portfolio

Stable occupancy

Strong capital flows into the sector

Opportunities to recycle capital

Prague Retail

Soft opening March 2005

Vacancy reduced

Cologne Technology Park

Income guarantee on vacant space

JOINT VENTURE INVESTMENT STRATEGY

• Stable cashflows, with strong covenants
• Leveraged to 75%, non recourse debt, hedged
• Locked in yield spread
• IRR on ordinary equity 15%, after tax
• Upside potential
• Cap rate compression (market, portfolio premium)
• Management 'value add'
• Exit Options
• Trading
• Securitisation
• Re-Financing

JV PIPELINE

\$1.1 billion assets acquired

Extensive pipeline of opportunities

Focussing on portfolios / assembling portfolios

High level of involvement in portfolio investment strategies

Approval processes / protocols agreed and understood

Strong alignment between GPT and B&B

Joint Venture target - \$5.6 billion

Confident of fully investing by Dec 2006 \$1.5 billion (approx) acquisitions under negotiation Anticipate use of top up Dec 2005 Market update fourth quarter

JOINT VENTURE OPERATING PLATFORM

Appointed

Appointed

Short Listed

GPT Team

General Manager, JV appointed Investment Manager, Europe Investment Analyst GPT portfolio teams assisting where appropriate

Joint Venture Committee

3 GPT and 3 Babcock & Brown appointments Operating processes / protocols established

Corporate entity

European (Luxembourg) entity established People, systems being put in place Secondments from both entities (GPT $-1$ : B&B $-2$ ) Administrative staff being recruited locally

GPT: ASSET BREAKDOWN

JV investment represents 5% total investment assets*

Core Portfolio \$8.7 billion

KEY RESULTS: RETAIL PORTFOLIO

Income up 4% like with like (10.4% overall)

Strong sales and operating results*

Total centre MAT/sqm up 3.4%

Specialty MAT/sqm up 6.5%

Regional specialty sales/sqm at \$9,520

Regional specialty occupancy costs at 14.5%

Occupancy high and arrears low

Vacancy less than 1% GLA

Arrears 0.1% of billings

*Excluding centres impacted by development

Strong Development Pipeline

	LANG S	2004	COO	2005	12007	2008
Malbourne Central

MELBOURNE CENTRAL CONTRACT

WARRELL 2005 MID YEAR RESULTS

Strong Development Pipeline

	2003	2004	2005	2006	2007	2008
Melbourne Central
Penrith Plaza
Macarthur Square
Rouse Hill Regional Centre					//////////////////////////////////////
Charlestown Square

KEY RESULTS: OFFICE

Income up 0.4% like with like (4.3% overall)

Occupancy increased to 94%

61,000 sqm leased to June 05

Terms agreed over 15,000 sqm

Agreed terms with Rabo Australia for 9,000 sqm (DP3)

Manageable lease expiry profile

Average lease term 6.1 years

Darling Park Stage 3

Completion ahead of schedule (end 2005)

Leasing underway (three floors remaining)

Office Lease Expiry Profile by Area 30 June 2005*

STRONG OPERATING RESULTS

Portfolio income up 13.5% like with like (46% overall)

Ayers Rock Resort

Revenue	$+13.1%$
Room Nights Sold	$+9.7%$
Room Rate	$+6.0%$
GPT Income	$+16.9%$

Four Points by Sheraton Sydney

Revenue	$+4.1%$
Room Nights Sold	$(4.8\%)$
Room Rate	$+9.9%$
GPT Income	$+3.1%$

RECENT ACQUISITIONS

Lodges Portfolio

Revenue	$(5.3\%)$
Room Nights Sold	$(7.4\%)$
Room Rate	$+1.0%$

Portfolio successfully integrated

Impacted by weak domestic conditions

Portfolio enhanced with El Questro acquisition

INDUSTRIAL/ BUSINESS PARK

KEY RESULTS: INDUSTRIAL/ BUSINESS PARK

Income up 4.3% like with like (15.9% overall) High occupancy - 98.5% (incl. land leases) Long average lease term - 5.4 years Austrak, Somerton Coles Myer National Distribution Centre (74,700 sqm) Labelmakers (22,200 sqm) P&O Terminal lease Quad 4 and 5 Figtree Drive

MASTERPLANNED URBAN COMMUNITIES

CAPITAL MANAGEMENT

Total assets \$9.3 billion

Gearing of 30.5% (limit 40%)

Total borrowings \$2.8 billion

\$2,320 million AUD

300 million Euro (AUD equivalent approx \$480 million)

Current effective interest rate 6.2%

Strategy to extend duration

\$300m MTN issue

600m Euro facility established

Note: Figures adjusted for the sale of interests in Penrith and Woden Plazas

GPT STRATEGY

Core portfolio

Ongoing active management to drive returns

Expansion through acquisitions and developments

Joint Venture

Continued focus on converting pipeline assets, stable cashflows /

locked in funding spreads

Establishment of funds management platform

GPT positioning

Identify additional growth opportunities (businesses/sectors)

IN SUMMARY

Core portfolio performance strong

Smooth transition proceeding

JV investment well progressed

Growth opportunities domestically and offshore

On track to deliver on strategy and forecasts

QUESTIONS