INGENIA COMMUNITIES GROUP — Annual Report 2016

Aug 22, 2016

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66 properties

• Established in 2004 internalised as Ingenia in 2012 and now part of the ASX 300
• Leading provider of affordable independent living for $\bullet$ Australian Seniors
• Over 3,000 residents paying fortnightly rent $\bullet$ complemented by capital light, low risk development and co-located tourism
• Rent payments supported by Commonwealth pension and rental assistance
• Board and management team with deep sector experience
• Focus on growth in Lifestyle Communities attractive $\bullet$ organic growth opportunity supported by roll-up of very fragmented industry sector

Contents

Property portfolio	3
Ingenia Lifestyle & Holidays
Portfolio overview	6
Portfolio statistics	8
Tourism accommodation rates and occupancy	10
Properties	12 °
Ingenia Lifestyle Current Development	24

P. L. (40)

$-1$

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25

Development pipeline
----------------------	--

Ingenia Garden Villages 48 Portfolio overview 50 Portfolio statistics 52 Properties 54 Ingenia Settlers 66 Portfolio overview 68 Portfolio statistics 70 Sales $71$ Properties 72

Information as at 31 December 2015 unless otherwise stated

Property portfolio

Ingenia's \$505 million property portfolio is dominated by cash yielding assets.

Ingenia Communities is one of Australia's largest owners of seniors rental villages and a leading owner / operator of Lifestyle Parks.

INGENIA LIFESTYLE & HOLIDAYS

Ingenia Lifestyle & Holidays

The Portfolio provides affordable seniors accommodation through a landlease rental model complemented by affordable holiday experiences, catering largely to the domestic market

The Portfolio has expanded rapidly. providing exposure to a growing market with stable cash flows and attractive development returns

Ingenia's focus is on increasing scale and enhancing returns through acquisition and development

At 30 June 2016 Ingenia's Lifestyle & Holidays Portfolio had a book value of \$299.7 million

Ingenia is currently refreshing the brands across the Group's communities

Portfolio overview

Rental revenue (FY16) \$33.3 million

	30 June	30 June
	2016	2015
Total properties
Total permanent sites	1,660	.468
Total annual sites		306
Total tourism sites	1.539	1033
Potential development sites 2	2.143	1.135

1. Includes Ocean Lake (acquired August 2016).

2. Includes new and recycled permanent and tourism sites, and optioned and contracted assets.

Rapid growth in rental income sites

Note: June 2016 includes Ocean Lake (settled August 2016).

The Portfolio is concentrated in urban and coastal areas

Portfolio location (by value)

Note: Includes Ingenia Holidays Ocean Lake (settled August 2016).

Average weekly rent (permanent home)

30 June 2016	\$149 per week

Note: Includes 314 Ingenia owned rentals with an average rent of \$215 per week.

Average site rent (annuals)

30 June 2016	$$5,645$ pa

6

INGENIA'S FOCUS IS ON CONTINUED GROWTH THROUGH IMPROVED OPERATIONAL PERFORMANCE, ACCRETIVE ACQUISITIONS AND HIGH MARGIN DEVELOPMENT

8

Portfolio statistics: Ingenia Lifestyle & Holidays

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Development assets

Property	Acquisition	Asset	Occupied				Tourism
	Date	Value (\$m)	Permanent Sites	Annuals	Cabins	Sites	Total
Ingenia Albury	Aug 2013	\$5.9	24	$\overline{\phantom{0}}$	21	24	69
Ingenia Mudgee Valley	Sept 2013	\$4.7	28	$\overline{\phantom{m}}$	30	16	74
Ingenia Mudgee	Oct 2013	\$6.8	34	$\overline{\phantom{000000000000000000000000000000000000$	33	32	99
Ingenia Lifestyle Lake Macquarie	Nov 2013	\$5.9	70	$\overline{\phantom{a}}$	÷.	s	70
Ingenia Lifestyle Chain Valley Bay	Dec 2013	\$5.3	9		$\sim$		9
Ingenia Hunter Valley	Feb 2014	\$10.3	14		22	41	77
Ingenia Lifestyle Stoney Creek	May 2014	\$18.8	153				153
Ingenia Lifestyle Chambers Pines	Mar 2015	\$23.8	203		$\equiv$	$\sim$	203
Ingenia Lifestyle Bethania	Jul 2015	\$13.4	57	$\sim$	$\mathbf{r}_{\text{max}}$	$\sim$	57
Ingenia Lifestyle Lara	Oct 2015	\$15.0	63	$\rightarrow$		$\sim$	63
Ingenia Lifestyle South West Rocks	Feb 2016	\$8.8	57	$\overline{\mathcal{L}}$	24	144	229
Total		\$118.7	712	4	130	257	1,103

Note: Development assets are not currently generating stable passing yields as they are impacted by development, including disruption to tourism, removal of income producing sites and subscale.

Portfolio statistics: Ingenia Lifestyle & Holidays

Stable assets

Property						Tourism
	Acquisition Date	Asset Value (\$m)	Permanent Sites	Annuals	Cabins	Sites	Total
Ingenia Lifestyle The Grange	Mar 2013	\$11.7	152		$\sim$	$\overline{\phantom{a}}$	152
Ingenia Lifestyle Ettalong Beach	Mar 2013	\$2.8	116	÷		$\sim$	116
Ingenia Nepean River	Aug 2013	\$11.0	102	$\sim$	37	14	153
Ingenia Kingscliff	Nov 2013	\$13.2	108	COL	19	60	187
Ingenia Holidays One Mile Beach	Dec 2013	\$11.1		50	61	121	233
Ingenia Holidays Cessnock	Feb 2014	\$1.5	u	$\sim$	$\sim$	45	45
Ingenia Holidays Sun Country	Apr 2014	\$8.6	37	203	18	$\overline{\phantom{a}}$	258
Ingenia Lifestyle Rouse Hill	Jun 2014	\$16.5	116	$\sim$		$\sim$	116
Ingenia Holidays White Albatross	Dec 2014	\$26.6	134		60	105	299
Ingenia Holidays Noosa	Feb 2015	\$15.0	50		30	106	186
Ingenia Holidays Lake Macquarie	Apr 2015	\$7.5	10 °	46	22	39	117
Ingenia Sydney Hills	May 2015	\$13.1	61	$\overline{\phantom{a}}$	25	40	126
Ingenia Holidays Lake Conjola	Sept 2015	\$25.4	$\overline{\phantom{a}}$	277	36	63	376
Ingenia Holidays Soldiers Point	Oct 2015	\$11.5	21	22	28	46	117
Ingenia Holidays Broulee	March 2016	\$5.5	s.	38	29	58	125
Ingenia Holidays Ocean Lake	August 2016	÷	$40^{\circ}$	124	26	64	254
Total		\$181.0	948	760	391	761	2,860
PORTFOLIO TOTAL		\$299.7	1.660	764	521	1,018	3,963

Note: The stable portfolio is not currently subject to development and is generating stable yields of more than 9,5% on purchase price. Cashflows related to tourism assets may be weighted to peak holiday seasons.

Note: Capitalisation rates range from 8.0% - 13.0%

Tourism accommodation rates and occupancy

$\sim$

. . . . . . . . . . . . . . . . . . . .

Ingenia Holidays Property Name	Location	Self Contained Accommodation	Occupancy Self Contained	Average Rate Self Contained	Caravan & Camping Sites	Occupancy Caravan & Camping	Average Daily Rate Caravan & Camping
Ingenia Mudgee	Mudgee, NSW	33	38%	\$89	32	36%	\$33
Ingenia Hunter Valley	Cessnock, NSW	22	54%	\$153	41	41%	\$41
Ingenia Mudgee Valley	Mudgee, NSW	30	43%	\$87	16	26%	\$30
Ingenia Nepean River	Penrith, NSW	37	76%	\$126	14	86%	\$38
Ingenia Holidays One Mile Beach	Anna Bay, NSW	-61	53%	\$150	121	35%	\$45
Ingenia Holidays White Albatross	Nambucca Heads, NSW	60	68%	\$127	105	53%	\$46
Ingenia Holldays Cessnock	Cessnock, NSW	$\sim$	$\mathcal{L}$	$\sim$	45	52%	\$22
Ingenia Kingscliff	Kingscliff, NSW	19	54%	\$87	60	46%	\$33
Ingenia Holidays Sun Country	Mulwala, NSW	18	35%	\$100	$\rightarrow$ :	$\sim$	$\overline{\phantom{a}}$
Ingenia Albury	Albury, NSW	21	23%	\$93	24	59%	\$26
Ingenia Holidays Noosa	Noosa, QLD	30	55%	\$113	106	52%	\$48
Ingenia Holidays Lake Macquarie	Lake Macquarie, NSW	22	59%	\$149	39	27%	\$46
Ingenia Sydney Hills	Dural, NSW	25	60%	\$116	40 °	68%	\$39
Ingenia Holidays Lake Conjola	Lake Conjola, NSW	36	61%	\$180	63	51%	\$50
Ingenia Holidays Soldiers Point	Soldiers Point, NSW	28	57%	\$212	46	51%	\$69
Ingenia South West Rocks	South West Rocks, NSW	24	38%	\$129	144	32%	\$46
Ingenia Holidays Broulee	Broulee, NSW	29	37%	\$134	58	21%	\$45
TOTAL/AVERAGE - TOURISM SITES		495	53%	\$130	954	45%	\$42

Note: Excludes Ocean Lake Caravan Park (acquired August 2016).

the party of

ALBURY - Lavington, NSW

Ingenia Albury (formerly known as Albury Citygate Caravan and Tourist Park), is located in Lavington. The community offers a mix of permanent homes, cabin, caravan and camping accommodation. New permanent homes have been added as part of the current development.

BETHANIA - Bethania, QLD

Ingenia Lifestyle Bethania (formerly Upstream Bethania) is located approximately 30 kilometres from the Brisbane CBD. Bethania is a modern community with 57 existing homes across three stages already in place. The community includes a bowling green, library, games room, barbeque, garden areas, pool and heated spa, as well as DA approved sites.

Asset Strategy

Ingenia's focus is on maximising returns from the site through the addition of new permanent homes and the separation of the tourism and permanent precincts. See page 33 for further information on the development.

Acquired	August 2013
Title	Freehold
Site area	8.6 hectares
No. sites (permanent)	24
No. sites (tourism)	45
Annual sites
Dev. sites	90 (approved)

$12$

Asset Strategy

Ingenia's focus is on developing the remaining stages in the community. Since acquisition, an adjoining 71 hectare site has been acquired for future development. See page 37 for further information.

Acquired	July 2015
Title	Freehold
Site area	7.8 hectares
Adjoining land	7.1 hectares
No. sites (permanent)	57
No. sites (tourism)	521
Annual sites	٠
Dev. sites	79 (approved)
	115 (STCA)

BROULEE BEACH - Broulee, NSW

Located on the South Coast of NSW. Ingenia Holidavs Broulee builds Ingenia's presence in the South Coast tourism market.

The Park is located in a quiet residental location with beachfront access, 20 kilometres from Bateman's Bay and approximately 300 kilometres south of Sydney. The Park offers a mix of annual sites and tourism accommodation including cabins and caravan and camp sites.

Facilities include a playground, jumping pillow. games room and swimming pool.

Asset Strategy

The Park offers immediate reconfiguration potential and the opportunity to further enhance returns through the upgrade and remixing of existing accommodation and facilities.

Acquired	March 2016
Title	Leasehold
	(to March 2035)
Site area	2.4 hectares
No. sites (permanent)	Card
No. sites (tourism)	87
Annual sites	38

CESSNOCK - Cessnock, NSW

Ingenia Holidays Cessnock is a tourist park located just five kilometres south of Ingenia Hunter Valley. The Park offers a range of caravan and camping accommodation and iswell located in the Hunter Valley region, with proximity to local attractions.

Asset Strategy

Ingenia's focus is on optimising returns from the existing operations. Longer term there is the potential to remix the existing offer to include a broader range of short-term accommodation.

Acquired	February 2014
Title	Freehold
Site area	0.9 hectares
No. sites (permanent)
No. sites (short-term)	45
Annual sites
Dev. sites

CHAMBERS PINES - Chambers Flat, QLD

Ingenia Lifestyle Chambers Pines is located approximately 30 kilometres from Brisbane and is close to Ingenia Lifestyle Bethania. The Park includes established manufactured homes with community facilities including swimming pool, community centre and bowling green. In addition, the asset has a separate rental precinct and a nine-hole golf course which now has approval for the development of 256 new homes

Asset Strategy

With development of the DA approved sites within the established permanent living precinct now complete, Ingenia is increasing the number of high vielding rental units and plans to commence the development of the golf course in September 2016. See page 34 for further information.

Acquired	March 2015
Title	Freehold
Site area	15.9 hectares
No. sites (permanent)	203
Annual sites
Dev. sites	256 (approved)

(Includes park owned units rented on a standard residential lease)

CHAIN VALLEY BAY - Chain Valley Bay, NSW

Formerly known as Macquarie Lakeside, Ingenia Lifestyle Chain Valley Bay is situated on the shores of Lake Macquarie, close to Newcastle. This waterfront location is being redeveloped to create a new permanent living community.

Asset Strategy

Following approval of a DA for 48 homes, Ingenia is developing this waterfront location to create a new boutique community. The development is currently underway with the first homes and refurbished community facilities forming the initial stage of the development. See page 41 for further information.

Acquired	December 2013
Title	Freehold
Site area	1.6 hectares
No. sites (permanent)	9
No. sites (tourism)	×
Annual sites
Dev. sites	35 (approved)

ETTALONG BEACH - Ettalong Beach, NSW

On the idyllic Central Coast in the seaside village of Ettalong, Ingenia Lifestyle Ettalong Beach is located just 300 metres from the beach within the Gosford region. Ettalong Beach is approximately one hour's drive from Sydney and four kilometres from Woy Woy. Facilities include a resort style swimming pool and community centre.

Asset Strategy

Since acquisition Ingenia has converted tourism sites and vacant land to 31 new permanent home sites, creating a dedicated permanent living village with new facilities.

Acquired
----

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----	--

Site area No. sites (permanent) No. sites (tourism) Annual sites

HUNTER VALLEY - Cessnock, NSW

Ingenia Hunter Valley (formerly BIG4 Valley Vineyard) is a mixed use community providing permanent living and tourist accommodation. Located in the Hunter Valley, the community includes a community room, jumping pillow, pool and spa as well as a campers kitchen and barbeque areas.

Asset Strategy

Ingenia's focus is currently on the addition of new DA approved permanent homes as part of a development which will add new homes along with upgraded facilities. See page 38 for further information.

Acquired	February 2014
Title	Freehold
Site area	4 hectares
No. sites (permanent)	14
No. sites (tourism)	63
Annual sites	÷
Dev. sites	23 (approved) 32 (STA)

KINGSCLIFF - Kingscliff, NSW

Ingenia Kingscliff (formerly known as Drifters) Holiday Village), is located between the Tweed River and Kingscliff Beach on 10 acres of green open space. The community includes both permanent homes and short-term. accommodation with access to a range of water based leisure activities.

Asset Strategy

Ingenia's focus is on increasing returns through site upgrades and repositioning within the existing community. Longer term there is potential to add approximately 27 additional sites (subject to approvals).

Acquired	November 2013
Title	Freehold
Site area	4.1 hectares
No. sites (permanent)	108
No. sites (tourism)	79
Annual sites	×
Dev. sites	27 (STA)

LAKE CONJOLA - Lake Conjola, NSW

Located on 21 hectares on the NSW South Coast, Ingenia Holidays Lake Coniola is in a prime lake front location approximately three hours south of Sydney. The Park is recognised as the premier tourist park on the NSW South Coast, providing an excellent seed asset for Ingenia's Soutnern NSW cluster. Since acquisition, Ingenia has added additional tourism cabins.

Asset Strategy

There is an immediate opportunity to expand the annual and tourism offering as well as potential to add a sizeable permanent living precinct (subject to approvals). To date. additional tourist sites have been added to the Park. Utilising additional vacant land could incorporate upwards of 100 new homes.

Acquired	September 2015
Title	Freehold
Site area	21 hectares
No. sites (permanent)	C.
No. sites (tourism)	99
Annual sites	277
Dev. sites	135 (STA)

LAKE MACQUARIE - Morisset, NSW

Ingenia Lifestyle Lake Macquarie is well located in close proximity to Lake Macquarie and nearby Ingenia Lifestyle The Grange.

The community has recently been expanded with the addition of 32 new homes and the final stage of the development is now underway.

Asset Strategy

Originally acquired as a mixed use Park, a significant development has added 32 new manufactured homes. The addition of a further 15 homes and new community facilities has commenced. The development will increase the Park's rental base and provide significant development returns. See page 30 for further information on the development.

Acquired	November 2013
Title	Freehold
Site area	2.9 hectares
No. sites (permanent)	70
No. sites (tourism)	Ser C
Annual sites	Carl
Dev. sites	15 (approved)

LARA - Lara, VIC

Representing Ingenia's first lifestyle community in Victoria, Ingenia Lifestyle Lara is a partially developed land lease community approximately 60 kilometres west of Melbourne. The community was acquired with 56 sold homes, a further 13 unsold homes, premium community facilities and the potential to develop a further 164 homes.

Asset Strategy

Since acquisition Ingenia's focus has been on commencing a repositioning of the community which includes improving presentation and enhancing new home design while selling down 13 already completed homes. Ingenia has now commenced the next stage of the development. See page 46 for further information on the development

Acquired	October 2015
Title	Freehold
Site area	8.3 hectares
No. sites (permanent)	63
No. sites (tourism)	1400
Annual sites	FREE
Dev. sites	161 (approved)

16

MANNERING PARK, NSW

Ingenia Holidays Lake Macquarie sits on the shores of Lake Macquarie, close to amenities including shopping, dining options and medical facilities. Operating as a mixed-use park. the community includes a small number of permanent sites with facilities including a camp kitchen, play area, barbeque and pool. Part of the site is zoned for medium density housing.

Asset Strategy

Ingenia's focus is maximising returns from the existing operations and continuing to drive high levels of occupancy across the tourist accommodation. Longer term there is potential to enhance returns through selected remixing of the site.

Acauired	April 2015
Title	Freehold
Site area	3.3 hectares
No. sites (permanent)	-10
No. sites (tourism)	61
Annual sites	46
Dev. sites

MUDGEE - Mudgee, NSW

Ingenia Mudgee (formerly Mudgee Tourist and Van Resort) is located in picturesque Mudgee close to wineries, gourmet food markets and national parks. On 6.8 hectares, the community offers a mix of holiday accommodation as well as permanent home sites.

Asset Strategy

Ingenia is currently undertaking a redevelopment which will see new permanent homes added to the site in a new precinct, clearly separated from the tourism component. See page 42 for further information on the development.

Acquired	October 2013
Title	Freehold
Site area	6.8 hectares
No. sites (permanent)	34
No. sites (tourism)	65
Annual sites	÷
Dev. sites	19 (approved)
	12 (STA)

MUDGEE VALLEY - Mudgee, NSW

Ingenia Mudgee Valley is located in North West Mudgee, close to the Mudgee Town centre. The community includes both permanent sites and a mix of short-term accommodation, including cabins and caravan and camping sites.

NEPEAN RIVER - Emu Plains, NSW

Ingenia Nepean River is located at the base of the Blue Mountains, close to Penrith and 60 km west of the Sydney CBD. A mixed use community. Ingenia Nepean River provides a range of holiday accommodation as well as permanent homes.

NOOSA - Tewantin, QLD

Ingenia Holidays Noosa (formerly Noosa Bougainvillia Holiday Park) is located on the popular Sunshine Coast. The community provides permanent homes and a range of short-term accommodation, including cabins and caravan and camping sites. The 6.5 hectare site includes onsite retail, a freehold petrol station, a cafe and a range of facilities including two swimming pools, jumping castle, games room and camp kitchen.

Asset Strategy

Ingenia's master plan for the site includes the addition of new permanent homes with associated facilities as well as a separation of the permanent living and tourism precincts of this 4.3 hectare site.

Acquired September 2013 Title Freehold Site area 4.3 hectares No. sites (permanent) 28 No. sites (tourism) 46 Annual sites i gri 16 (approved) Dev. sites 60 (STA)

Asset Strategy

Ingenia's focus is on maximising returns through optimising tourism revenues and the addition of a limited number of new permanent homes.

Acquired	August 2013
Title	Freehold
Site area	3.9 hectares
No. sites (permanent)	102
No. sites (tourism)	51
Annual sites
Dev. sites	10 (STA)

Asset Strategy

Ingenia's focus is on optimising returns through effective management and, over time, the potential reconfiguration of the existing tourism offer.

Acquired	February 2015
Title	Freehold
Site area	6.5 hectares
No. sites (permanent)	50
No. sites (tourism)	136
Annual sites	SEC
Dev. sites

ONE MILE BEACH - One Mile, NSW

Ingenia Holidays One Mile Beach is nestled in 5.5 hectares of native bushland close to Port Stephens and is one of the most iconic. beachfront tourist parks in NSW. Located 30 minutes north of Newcastle, this beachfront park includes beach houses, quality cabins, caravan and camping sites and annual sites.

Asset Strategy

The Group is currently progressing plans for a comprehensive refurbishment and upgrade of the park to maximise returns from its beachfront location. This will include conversion of lower vielding camping sites into additional beach houses and cabins and the installation of new premium annual holiday homes...

$-4.4$ ha

Acquired	December 2013
Title	Leasehold
Site area	Perpetual - 4.4h Sept 2031 - 11ha
No. sites (permanent)
No. sites (tourism)	182
Annual sites	50

OCEAN LAKE - Wallaga Lake, NSW

Located on the South Coast of NSW, with proximity to Ingenia Holidays Broulee, Ingenia Holidays Ocean Lake expands the Group's South Coast cluster with the addition of a large waterfront mixed use park-

The Park's accommodation is dominated by permanent and annual sites, which underpin stable returns. In addition, the Park includes 26 tourism cabins and 64 camp sites with facilities including a playground. BBQ facilities and a boat ramp catering to a range of water activities.

Asset Strategy

The Park offers the opportunity to improve returns through selected site upgrades and reconfiguration.

Acquired	August 2016
Title	Freehold
Site area	8.4 hectares
No. sites (permanent)	40
No. sites (tourism)	90
Annual sites	124

ROUSE HILL, NSW

Ingenia Lifestyle Rouse Hill is located in Sydney's north-western Hills district, within the North-West growth corridor. The surrounding area is experiencing rapid population, infrastructure and services growth with significant private and public investment, including a new train line located adjacent to this community.

Asset Strategy

The site is zoned for medium density residential. Ingenia is currently investigating the options for converting the park into medium density residential, while maximising residential rental performance, through buying back and renting homes

Acquired	June 2014
Title	Freehold
Site area	3.7 hectares
No. sites (permanent)	116
No. sites (tourism)
Annual sites	÷.
Dev. sites	84 (STA)

(Includes park owned units rented on a standard residential lease)

SOLDIERS POINT - Soldiers Point, NSW

The Park is located in a prime tourism location approximately two and a half hours north of Sydney and expands Ingenia's presence in the established Hunter/Newcastle cluster Ingenia Holidays Soldiers Point offers a mix of permanent sites and tourism accommodation and has potential for further development.

The Park is adjacent to the Soldiers Point Bowling Club, providing access to a range of facilities, entertainment and dining options.

Asset Strategy

With the ability to increase the number of operating sites to 136, Ingenia plans to improve returns through the improvement of the tourism offer and the development of new sites, and has already added new cabins to the Park.

Acquired	October 2015
Title	Freehold
Site area	28 hectares
No. sites (permanent)	21
No. sites (tourism)	74
Annual sites	22
Dev. sites	2 (approved)

SOUTH WEST ROCKS - South West Rocks. NSW

Located in a popular tourist destination on the Mid North Coast of NSW, Ingenia South West Rocks is a premium mixed use park within the Group's mid north coast cluster. The Park includes both permanent homes and camping as well as caravan and cabin sites and is located. about one hours drive north of Port Macquarie. Facilities include a camp kitchen and barbeque areas, children's playground and library.

Asset Strategy

Ingenia plans to add over 50 new homes. In addition, Ingenia will reconfigure the tourism offer to convert lower yielding camp sites to ensuite caravan sites or cabin sites and will invest selectively to improve the accommodation and facilities as part of a repositioning of the Park. See page 45 for further information on the development.

Acquired Title	February 2016 Leasehold (to September 2026)
Site area	9.5 hectares
No. sites (permanent)	57
No. sites (tourism)	168
Annual sites	4
Dev. sites	57 (approved)

STONEY CREEK - Marsden Park, NSW

Ingenia Lifestyle Stoney Creek sits within the Sydney cluster, in the suburb of Marsden Park, Stoney Creek, which is rapidly being redeveloped, is close to shopping and local amenities in a Local Government Area that is expected to be home to over 120,000 new residents in the next 15 years.

Asset Strategy

Ingenia is currently undertaking a significant repositioning, which includes improving the overall amenity of the community, upgrading community facilities and converting tourism and older homes to new affordable housing. See page 29 for further information on the development

Acquired	May 2014
Title	Freehold
Site area	12.1 hectares
No. sites (permanent)	153
No. sites (tourism)	÷
Annual sites	$\overline{\phantom{a}}$
Dev. sites	41 (approved) 37 (STA)

SUN COUNTRY - Mulwala, NSW

Ingenia Holidays Sun Country is a long established manufactured home and tourist park located opposite Lake Mulwala, a unique and highly popular holiday and retirement destination for Melburnians. The community includes over 200 privately owned annual holiday cabins which provide a strong secure recurrent rental income as they are leased out. on a long term basis.

Asset Strategy

Ingenia is progressing plans to build on the site comprising the ability to develop a further 107 sites under existing approvals.

Acquired	April 2014
Title	Freehold
Site area	171 hectares
No. sites (permanent)	37
No. sites (tourism)	18
Annual sites	203
Dev. sites	107 (approved)

SYDNEY HILLS - Dural, NSW

Ingenia Sydney Hills is located in the Hills district, approximately 30 minutes from the Sydney CBD. A mixed-use community with both permanent and short-term accommodation. Sydney Hills is conveniently located close to shops and amenities in an area experiencing rapid growth and significant investment.

Asset Strategy

The community is one of the closest freehold parks to the Sydney CBD. Ingenia is focused on optimising returns from the existing operations and has recently added a child care facility. The Estate is located in a growing residential area which forms part of a planning proposal for rezoning from Rural Landscape to Urban use.

Acquired	April 2015
Title	Freehold
Site area	4.2 hectares
No. sites (permanent)	61
No. sites (tourism)	65
Annual sites	÷.
Dev. sites	15 (STA)

THE GRANGE - Morisset. NSW

Located just 1.5 kilometres from the Morisset township, local amenities and the Morisset train station, Ingenia Lifestyle The Grange is a resort style manufactured home estate dedicated to affordable seniors living. The village includes a swimming pool and community centre.

WHITE ALBATROSS - Nambucca Heads, NSW

Ingenia Holidays White Albatross is situated on a prime waterfront location in beautiful coastal surrounds at Nambucca Heads. White Albatross is a large mixed use community which offers permanent living and a range of short-term accommodation as well as facilities including pool, children's playground, cafe, barbeques and a camp kitchen.

Asset Strategy

Since acquisition, Ingenia has grown returns through the addition of new homes on 'infill' sites. A DA has now been lodged for a further 56 new homes and new community facilities.

Acquired	March 2013
Title	Freehold
Site area	8.8 hectares
No. sites (permanent)	152
No. sites (short-term)	$\sim$
Annual sites
Dev. sites	56 (STA)

Asset Strategy

Ingenia's focus is on maintaining the existing operations and driving stronger revenues from short-term accommodation. Longer term there is the potential to enhance returns through reconfiguration of the existing accommodation mix.

Acquired	December 2014
Title	Freehold
Site area	5.3 hectares
No. sites (permanent)	134
No. sites (short-term)	16.5
Annual sites	$\sim$
Dev. sites

INGENIA LIFESTYLE CURRENT DEVELOPMENT

Development pipeline

Cluster/Community	Remaining Approved Dev. Sites Requiring Total Potential Dev. Sites	Approval	Dev. Sites	FY17	FY18	FY19	Beyond
Hunter/Newcastle
The Grange, NSW		56	56
Lake Macquarie, NSW	15	$\overline{\phantom{a}}$	15
Chain Valley Bay, NSW	35	$\overline{\phantom{a}}$	35
Hunter Valley, NSW	55	$\overline{\phantom{a}}$	55
Soldiers Point, NSW	$\overline{2}$	÷	$\overline{2}$
North Coast
South West Rocks, NSW	57	i.	57
Kingscliff, NSW		27	27
Central West
Mudgee, NSW	19	12	31
Mudgee Valley, NSW	16	60	76
Sydney Basin
Rouse Hill, NSW	$\overline{\phantom{a}}$	84	84
Sydney Hills, NSW	$\overline{\phantom{a}}$	15	15
Stoney Creek, NSW	41	37	78
Nepean River, NSW	$\overline{\phantom{a}}$	10	10
South West
Albury, NSW	90	a	90
Sun Country, NSW	107		107
South Coast
Lake Conjola, NSW	$\overline{\phantom{a}}$	135	135
Brisbane
Bethania, QLD	79	115	194
Chambers Pines, QLD	256	÷	256
Victoria
Lara, VIC	161		161
TOTAL PORTFOLIO	933	551	1,484	Note: Timeframes are indicative and subject to change.
Latitude One 1 (NSW Coast)	229		229
Upper Coomera 1 (QLD Metro)		180	180
Sydney Confidential Park 1		250	250
Total			2,143
Note: Excludes sites approved for tourism.

1. Under Contract or option.

Deposits and contracts in place for 84 homes at 30 June 2016

the state of the

FY2016	New Settlements	Refurb/DMF Settlements	Deposited	Contracted	Available Completed Stock *	Homes Under Construction
Ingenia Lifestyle Ettalong Beach Ettalong	3	3
Ingenia Lifestyle Lake Macquarie Morisset	26		7	÷	۰	$\overline{\phantom{a}}$
Ingenia Lifestyle Stoney Creek Marsden Park	43	3	8	15	$\sqrt{4}$	11
Ingenia Lifestyle Chambers Pines Chambers Flat	11	$\overline{2}$	5	$\overline{2}$	$\overline{2}$
Ingenia Albury Lavington	6		$\ensuremath{\mathsf{4}}$		4
Ingenia Lifestyle Lara Lara	7		16		5	×
Ingenia Hunter Valley Cessnock	$\overline{4}$		3		$\epsilon$	$\overline{2}$
Ingenia Lifestyle Chain Valley Bay Chain Valley Bay			5			7
Ingenia Lifestyle The Grange Morisset		3			$\overline{\phantom{a}}$
Ingenia Mudgee Mudgee	4				6
Ingenia South West Rocks South West Rocks					×,	$\overline{2}$
Ingenia Lifestyle Bethania Bethania	$\overline{2}$		12	$\overline{2}$		9
TOTAL PORTFOLIO	107	12	63	21	27	31

All Street

$\alpha$

* Excludes Display Homes and Staff site offices.

INGENIA LIFESTYLE Stoney Creek

MASTER PLAN

28

Ingenia Lifestyle Stoney Creek

Ingenia is well progressed in the conversion and upgrade of this former Western Sydney caravan park into an affordable over 50s residential community.

To date, over 100 new homes have been delivered with 61 settled and 26 currently deposited or contracted. A new entry statement has been installed and significant new landscaping established. In December 2015 a DA was lodged for new community facilities. including a community and wellness centre. BBQ and pool.

Stage 2 commenced selling in February 2016 and sales have continued to be strong with a number of homes deposited.

The Estate offers a range of home configurations with the majority of the homes comprising 2 and 3 beds, 1.5 bath homes with single carports.

Homes range in price from \$259,000 to \$380,000.

Upon completion and subject to final Council approvals. Stoney Creek will comprise 240 homes in one of Sydney's fastest growing residential corridors.

Ingenia Lifestyle Lake Macquarie

Ingenia acquired this mixed-use Park in November 2013 with plans to convert the Park into a pure residential community.

In November 2015 an application was lodged with Council to convert existing tourism and short term rental accommodation into 15 new premium over 50's homes. Council approval was received in February 2016, paving the way for the creation of new community facilities in conjunction with additional new homes. This final stage commenced in June 2016.

The first stage of the development, comprising 32 homes on adjacent land, was sold out in April 2016.

Completion of the community facilities is expected in late September with the first homes to arrive soon after.

To date, 8 homes have been deposited with settlements due to commence from October 2016.

30

INGENIA LIFESTYLE Lake Macquarie

MASTER PLAN

INGENIA Albury

MASTER PLAN

Ingenia Albury

Ingenia's vision for this rundown former caravan park is an integrated mixed use community comprising affordable over 50's homes and a revitalised tourism park catering to Albury's strong drive-thru and group based tourist market.

In September 2015, Ingenia received final Council approval for the Group's masterplan for this mixed-use park. To date, 15 new homes have been delivered and 12 deposited, conracted or settled with prices ranging from \$169,000 to \$240,000. Homes include two beds, two beds with study, and three beds.

A new architect designed community facility, using modular construction has been installed with a resort style pool, significantly improving the community facilities and lifestyle available to residents

Ingenia Lifestyle Chambers Pines

Chambers Pines is one of Ingenia's core growth projects and is forecast to be a key driver of new home sales over the next five years.

Chambers Pines comprises both an affordable over 50's residential home community and an all ages rental village with many value levers.

Since acquisition in March 2015, Ingenia has deposited, contracted or settled 19 homes. Homes are priced from \$215,000 to \$250,000. In addition, the opportunity to add up to 22 additional rental units has been identified. To date, 8 new rental units have been completed a further 7 cabins have been ordered and surplus cabins from development sites have been relocated to improve the rental stock. Refurbishment of 8 existing cabins is also underway.

In November 2015, the Group received Council approval to develop an additional 256 homes on land currently occupied by a nine hole golf course. Works are due to commence in September 2016, with the first stage of the development to include 40 sites with the first homes due to be complete in early 2017. Upon completion. Chambers Pines will be one of the largest land lease communities in South East Queensland

$= 2$ bedrooms

INGENIA LIFESTYLE Chambers Pines

MASTER PLAN

INGENIA LIFESTYLE Bethania

MASTER PLAN

Ingenia Lifestyle Bethania

Ingenia acquired the community in July 2015. On acquisition the community included 54 completed homes and approval for 76 additional homes.

Site civil works have recently been completed for the next 86 homes and the first new homes are under construction. Home prices range from \$299,000 - \$395,000.

Since acquisition, Ingenia has also acquired a 7.1 hectare site immediately adjacent to Bethania. This land has the potential for a further 115 homes (subject to approval).

Upon completion, Bethania could comprise over 300 homes and be one of Ingenia's largest residential communities.

Ingenia Hunter Valley

Located on the doorstep of the Hunter Valley vineyards the Community offers an affordable and secure community for downsizers wanting to create a home base.

TYPE 1A

$m = 16$ First

Ingenia's vision for this former caravan park is to create an integrated mixed-use community comprising over 64 affordable over 50's homes and a revitalised tourism park catering to the Hunter Valley's strong short term accommodation market.

In December 2015, an application was lodged with Council for 64 permanent sites and 55 short-term sites. In January 2016, a Development Application was lodged seeking approval to build a new community facility and entry statement. Approval has now been received for the community facility and additional sites.

Construction on the community centre is underway and expected to be complete in October 2016. New homes sit on lots averaging 185 sam and comprise spacious 2 and 3 bedroom homes. Home prices range from \$239,000 to \$295,000.

Chambers Pines

INGENIA Hunter Valley

MASTER PLAN

INGENIA LIFESTYLE Chain Valley Bay

MASTER PLAN

40

Ingenia Lifestyle Chain Valley Bay

In 2015, Ingenia commenced a transformation of this waterfront community, which is destined to be a haven for downsizers wanting to escape and relax by the water.

Civil works, the community centre and landscaping works were complete in May 2016 and the first display homes were complete in June.

The homes, which range in price based largely on location, sit on relatively small sites (average site size of 174 sqm) and include a Hamptons style theme in keeping with the waterfront location. Homes, which are being supplied by Parkwood and Builtsmart are 2 bed and 2 bed plus study. Chain Valley Bay appeals to local buyers seeking a smaller boutique-style community with strong interest also coming from Newcastle. Prices range from \$295,000 to over \$400,000 for waterfront lots.

At 30 June one home had settled with a further five homes deposited.

Ingenia Mudgee & Mudgee Valley

Development Applications have been lodged to enhance Ingenia's Mudgee communities.

Tourism accommodation and facilities are already in place at these communities and performing well while plans are being progressed.

The two communities provide complementary price points with homes from \$199,000. Future sales are expected to be underpinned by improvements in product offer, improving local market conditions and the ability to continue to leverage tourism to support continued sales growth.

Four homes settled in FY16, with one currently deposited.

INGENIA Mudgee

MASTER PLAN

INGENIA South West Rocks

LEGEND

Development

INGENIA COMMUNITIES | PROPERTY PORTFOLIO 2016

Ingenia South West Rocks

Ingenia acquired South West Rocks in February 2016 as part of a mixed use community which is located on the NSW mid north coast. On acquisition the community included 54 homes, 187 tourism sites with approvals in place for additional new homes.

South West Rocks is a picturesque waterfront location and upon build out will comprise over 100 new homes with a new community facility and a 187 site revitalised tourism park.

Since acquisition, four new homes have been delivered to site, a DA has been lodged for the community facilities, and display homes have been furnished.

Homes comprise a mix of 2, 2.5 and 3 bedrooms and are priced from \$239,000 - \$290,000.

Ingenia Lifestyle Lara

Ingenia Lifestyle Lara was acquired by Ingenia in October 2015. On acquisition the community was partially complete, with 56 occupied homes, 13 completed and unsold homes and 164 development sites with approvals in place. Lara also included premium community facilities centred around a \$3.5 million club house.

Since acquisition Ingenia has focused on completing minor refurbishment works, including painting and landscaping, to improve the existing unsold stock homes, commencing construction on access road upgrades, and improving the overall presentation of the community.

Design and approval for the next stage of homes has commenced and draws from Ingenia's standard design suite.

Construction of the first Ingenia homes comenced in July 2016.

The selldown of existing stock homes is well advanced with a formal market launch held in May 2016.

Upon completion. Lara will represent a masterplanned residential community of 233 homes.

46

INGENIA LIFESTYLE Lara

STAGE PLAN

INGENIA GARDEN VILLAGES

Garden Villages

The Ingenia Garden Villages Portfolio provides affordable rental accommodation, delivering stable, Government supported cashflows

Ingenia's management team is focused on ensuring residents enjoy life in connected. engaged communities. Ingenia Care, a free service, is a key part of this commitment

Ingenia's focus is growing returns through occupancy gains, rental growth and margin enhancement

At 30 June 2016, the Portfolio of 31 Villages had a book value of \$134.6 million

Portfolio overview

Total FY16 revenue \$27.5 million

	30 June	30 June
	2016	2015
Total properties
Total units	1.628	1.628
Av. weekly rent 1	\$321
Dccupancy 1	0.7%	0.7%

1. Like for like - excludes three villages sold June 2015.

Ingenia Garden Villages snapshot

• · Total resident meals served daily 2,100
• Average resident tenure 3 years
• 91% occupancy

INGENIA GARDEN VILLAGES PROVIDE AFFORDABLE ACCOMMODATION & A RANGE OF COMMUNITY ACTIVITIES

Portfolio statistics: Ingenia Garden Villages

$-24.1$

Property	Location	Asset Value 30 June 2016 \$m\$	Total Units	Occupancy 30 June 2016	Occupancy 30 June 2015
Western Australia
Swan View	Swan View	7.4	72	89%	99%
Seville Grove	Seville Grove	4.0	45	91%	98%
Ocean Grove	Mandurah	3.7	45	98%	98%
Yakamia	Yakamia	4.9	57	84%	93%
Sea Scape	Erskine	4.9	-51	100%	100%
Carey Park	Bunbury	4,4	51	94%	100%
Total / Average - WA		29.3	321	92%	98%
Queensland
Marsden	Marsden	9.0	96	100%	88%
Jefferis	Bundaberg North	4.4	51	90%	88%
Total / Average - QLD		13.4	147	97%	88%
Tasmania
Glenorchy	Glenorchy	4.1	42	98%	95%
Elphinwood	Launceston	4.0	55	86%	82%
Claremont	Claremont	3.4	51	96%	84%
Devonport	Devonport	1.7	51	77%	61%
Launceston	Launceston	3.5	55	86%	89%
Total / Average - TAS		16.7	254	88%	82%

. . . . . . . . . . . . . . . . . . . .

. . . . . . . . . . . . . . . . . . . .

Property	Location	Asset Value 30 June 2016 \$m\$	Total Units	Occupancy 30 June 2016	Occupancy 30 June 2015
New South Wales
Wagga	Wagga Wagga	4.4	50	76%	94%
Wheelers	Dubbo	5.1	52	98%	98%
Taloumbi	Coffs Harbour	5.2	50	100%	100%
Chatsbury	Goulburn	3.7	49	100%	98%
Oxley	Port Macquarie	4.4	45	100%	100%
Dubbo	Dubbo	3.6	54	76%	73%
Taree	Taree	3.3	51	82%	69%
Peel River	Tamworth	4.6	51	96%	94%
Bathurst	Bathurst	4.3	53	93%	96%
Total / Average - NSW		38.6	455	91%	91%
Victoria
Grovedale	Grovedale	5.0	51	94%	100%
St Albans Park	St Albans Park	5.1	53	93%	96%
Townsend	St Albans Park	4.3	50	96%	100%
Sovereign	Sebastopol	3.3	51	88%	88%
Hertford	Sebastopol	4.0	48	83%	85%
Coburns	Brookfield	3.9	51	90%	80%
Horsham	Horsham	4.0	47	77%	87%
Brooklyn	Brookfield	4.2	51	92%	96%
Warrnambool	Warrnambool	2.9	49	86%	84%
Total / Average - VIC		36.7	451	89%	91%
Total / Average		134.6	1,628	90.7%	90.6%

Note: Capitalisation rates range from 9.0% to 11.0%.

$-9.1$

BATHURST - Bathurst, NSW

Ingenia Garden Villages Bathurst is located in the regional city of Bathurst, a few hours west of Sydney. The location offers the best of country life combined with modern conveniences and facilities. The Village offers close proximity to retail and recreational facilities and is a short walk to medical services, with public transport approximately 100 metres away.

BROOKLYN - Brookfield, VIC

Ingenia Garden Villages Brooklyn is located in Brookfield, a suburb within Melton, offering a balance of rural-urban lifestyle. There are a range of activities and services in Melton including Country Club, Bowling Club and Mens Shed. The Village is well located with close proximity to transport, providing access to a range of medical, retail and leisure facilities.

CAREY PARK - Bunbury, WA

The port city of Bunbury, home to Ingenia Garden Villages Carey Park, is one of the largest cities in Western Australia. Bunbury is a thriving cultural centre and the Village offers easy access to a range of recreation facilities, as well as essential services such as medical services and a shopping centre.

Acquired
Title
Site area
Total units
Occupancy

January 2014 Freehold 7,000 sam 53 93%

Acquired Title Site area Total units Occupancy

June 2004 Freehold 6,355 sam 51 92%

Acquired Title Site area Total units Occupancy

June 2004 Freehold 5,690 sam 51 94%

CHATSBURY - Goulburn, NSW

Ingenia Garden Villages Chatsbury is located in Goulburn, a regional city in the southern tablelands of NSW, approximately 100 kilometres from Canberra. The Village has public transport within an easy walk and is in close proximity to shopping, medical and entertainment facilities.

CLAREMONT - Claremont, TAS

Ingenia Garden Villages Claremont is located in Claremont, part of the greater Hobart area on the Derwent River, and home to four of the major golf clubs in the Hobart region. The Village has easy access to a Chemist and RSL Club with a local shopping centre, bowls club and medical facilities nearby.

COBURNS - Brookfield, VIC

Neighbour to nearby Ingenia Garden Villages Brooklyn, Ingenia Garden Villages Coburns is located in the suburb of Brookfield in Melton, approximately 35 kilometres west of Melbourne's CBD. The location provides easy access to Melbourne via rail or car as well as proximity to a range of local services and facilities.

Acquired
Title
Site area
Total units
Occupancy

June 2004 Freehold 6.040 sam 49 100%

Acauired Title Site area Total units Occupancy June 2004 Freehold 6,830 sqm $51$ 96%

Acquired	June 2004
Title	Freehold
Site area	6.355 sam
Total units	51
Occupancy	90%

DEVONPORT - Devonport, TAS

Situated in Devonport, in the north of Tasmania, at the mouth of the Mersey River, Ingenia Garden Villages Devonport is central to local shopping precincts with good access to public transport and a range of recreational facilities.

DUBBO - Dubbo, NSW

Ingenia Garden Villages Dubbo is well located in the regional town of Dubbo, with public transport only metres away. Offerring easy access to medical, retail, and recreational facilities, the Village includes a communal library and community centre within well maintained gardens.

ELPHINWOOD - Launceston, TAS

Ingenia Garden Villages Elphinwood is located in Launceston, one of Tasmania's oldest and largest cities. With easy access to transport and a range of facilities, including medical services. sporting and recreation clubs and shopping. the Village provides a convenient location for seniors.

Acquired Title Site area Total units Occupancy

June 2004 Freehold 6.290 sam 51 77%

Acquired Title Site area Total units

Occupancy

December 2012 Freehold 6,300 sam 54 76%

Acquired Title Site area Total units Occupancy

June 2004 Freehold 6,330 sqm 55 86%

GLENORCHY - Glenorchy, TAS

Located in the Northern suburbs of Hobart and nestled beside the Derwent River, Glenorchy is home to many facilities. Ingenia Garden Villages Glenorchy provides easy access to public transport and is in close proximity to local clubs and medical and retail services.

GROVEDALE - Grovedale, VIC

Situated in Grovedale, Geelong, Ingenia Garden Villages Grovedale offers access to a range of attractions found in the Geelong region ranging from beaches to bush, historic townships to modern retail precincts. A well populated region. Geelong is approximately 75 kilometres from Melbourne located on Corio Bay and the Barwon River

Acquired	June 2005
Title	Freehold
Site area	4.780 sam
Total units	42
Occupancy	98%

Acquired
Title
Site area
Total units
Occupancy

June 2005 Freehold 6.590 sam 51 94%

HERTFORD - Sebastopol, VIC

Ingenia Garden Villages Hertford is located in Sebastopol, on the urban rural fringe of Ballarat. Sebastopol includes walking trails, botanic gardens and wildlife experiences, providing a range of activities in a scenic location. Public transport is at the gate, allowing convenient access to a range of services, including local bus, shopping and medical services.

HORSHAM - Horsham, VIC

Ingenia Garden Villages Horsham is located in the regional city of Horsham, part of the Wimmera region of Victoria, approximately 300 kilometres north-west of Melbourne, Located close to the River and with convenient access to public transport, the Village provides an easy lifestyle with proximity to medical, leisure and retail services.

JEFFERIS - Bundaberg, QLD

Located in the thriving regional city of Bundaberg on the Burnett River, Ingenia Garden Villages Jefferis is located approximately 385 kilometres north of Brisbane, just inland from the coast. Bundaberg proves a warm climate and an abundance of shopping centres. sporting clubs and local attractions. With public transport just outside, the Village is well located with easy access to key services and facilities.

June 2004

Freehold

51

90%

7,320 sqm

Acquired
Title
Site area
Total units
Occupancy

June 2004 Freehold 4.790 sam 48 83%

Acquired Title Site area Total units Occupancy

June 2004 Freehold 4,560 sam 47 77%

Acquired Title Site area Total units Occupancy

58 INGENIA COMMUNITIES | PROPERTY PORTFOLIO 2016

LAUNCESTON - Launceston, TAS

Located only 600 metres from Ingenia Garden Villages Elphinwood, Ingenia Garden Villages Launceston is located in the historic Tasmanian city of Launceston. With access to social activities and health services, the Village also has close proximity to transport and a range of services including Post Office. Library and shopping centre.

Acquired	January 2014
Title	Freehold
Site area	6.464 sam
Total units	55
Occupancy	86%

MARSDEN - Marsden, QLD

Ingenia Garden Villages Marsden is a large village offering close to 100 rental units, located in the city of Logan approximately 30 kilometres from the Brisbane CBD. The Village is located close to shopping, health facilities and sporting clubs and is an easy walk to public transport. Facilities include a library, dining room, community laundry and beautiful gardens.

Acquired Title Site area Total units Occupancy

June 2005 Freehold 12.000 sam 96 100%

OCEAN GROVE - Mandurah, WA

Ingenia Garden Villages Ocean Grove is situated in the suburb of Erskine. Mandurah, close to Seascape Gardens, which is located within the same suburb. With close proximity to parkland and with a shopping centre less than a kilometre away, Ocean Grove Gardens provides a convenient location with good access to essential health services and a range of leisure facilities.

Acquired Title Site area Total units Occupancy

February 2013 Freehold 7,501 sam 45 98%

Acquired Title Site area Total units Occupancy

June 2004 Freehold 5.100 sam 45 100%

CONTRACTOR

OXLEY - Port Macquarie, NSW

Located on the mid north coast of NSW approximately 400 kilometres north of Sydney and 570 kilometres south of Brisbane, in Port Macquarie, Ingenia Garden Villages Oxley provides a coastal lifestyle. The Village has easy access to beaches and heritage walking trails as well as retail and medical facilities

PEEL RIVER - Tamworth, NSW

Ingenia Garden Villages Peel River is located in Tamworth, the major regional centre for the New England region of NSW, approximately 500 kilometres north of Sydney and 600 kilometres south of Brisbane. With public transport at the gate, the Village provides easy access to a range of facilities within this large regional town.

Acquired	Marc
Title	Freeh
Site area	6.90
Total units	-51
Occupancy	96%

SEASCAPE - Erskine, WA

Ingenia Garden Villages Seascape is located in the suburb of Erskine, Mandurah, Mandurah is a vibrant regional Western Australian city with access to a beautiful coastline, perfect for fishing or relaxing. With public transport only 20 metres away the Village provides a convenient location with access to services in close proximity to Ingenia Garden Villages Ocean Grove.

SEVILLE GROVE - Seville Grove, WA

Ingenia Garden Villages Seville Grove is situated in a quiet cul de sac. just south of Armadale city centre. A growing regional centre, Armadale combines a scenic environment with city conveniences. Public transport is at the door and with only 100 metres to medical facilities and easy access to shopping, post office and the public library, Ingenia Garden Villages Seville Grove is well located.

Acquired	June 2004
Title	Freehold
Site area	5.275 sam
Total units	45
Occupancy	91%

$h.2013$ hold 0 sam

Acquired Title Site area Total units Occupancy

$l$ une 2004 Freehold 6.545 sam 51 100%

SOVEREIGN - Sebastopol, VIC

Situated approximately four kilometres from the town centre, in Sebastopol, Ballarat, Ingenia Garden Villages Sovereign is a well located Village within scenic surrounds. In addition to providing easy access to a range of services and facilities, the Village is close to Ingenia Garden Villages Hertford, which is also in Sebastopol.

ST ALBANS PARK - St Albans Park, VIC

Ingenia Garden Villages St Albans Park is an eastern region of Geelong, bounded by the Barwon River, with both access to parkland and the CBD. With close proximity to transport and a range of facilities, including medical, retail and leisure facilities, Ingenia Garden Villages St Albans Park provides a convenient location within a well populated region.

SWAN VIEW - Swan View, WA

Ingenia Garden Villages Swan View is located in the Perth suburb of Swan View, only minutes from the Perth Hills and John Forrest National Park. Providing rural beauty within walking distance to local shopping, this large Village is conveniently located.

Acquired Title Site area Total units Occupancy

June 2013 Freehold 6.000 sam $51$ 88%

Acquired Title Site area Total units Occupancy

June 2004 Freehold 8,290 sqm 53 93%

Acquired Title Site area Total units Occupancy

January 2006 Freehold 8,030 sqm 72 89%

TALOUMBI - Coffs Harbour, NSW

Located on the mid north coast of NSW, a popular holiday destination of Coffs Harbour. Ingenia Garden Villages Taloumbi is nestled between a high mountain backdrop and beautiful coastlines. The Village's location provides easy access to retail, medical and recreation facilities. Transport at the door and close proximity to beaches and parklands add to the attraction of the Village's location.

Acquired	June 2004
Title	Freehold
Site area	6,160 sam
Total units	50
Occupancy	100%

TAREE - Taree, NSW

Located on the mid north coast of NSW, on the Manning River, Ingenia Garden Villages Taree provides a rural lifestyle. The Village sits on over 9.000 sam of land, surrounded by farmland, but is within walking distance to a bowls club and golf course and has public transport at the front gate, providing easy access to a range of local facilities and services.

TOWNSEND - St Albans Park, VIC

Ingenia Garden Villages Townsend is located in St Albans Park, a suburb of Geelong which is also home to Ingenia Garden Villages St Albans Park. The Village provides a convenient location with proximity to key facilities and services.

Acquired
Title
Site area
Total units
Occupancy

December 2004 Freehold 9.390 sam $51$ 82%

Acquired
Title
Site area
Total units
Occupancy

June 2004 Freehold 8.290 sam 50 96%

WHEELERS - Dubbo, NSW

Ingenia Garden Villages Wheelers is located in the regional town of Dubbo. The Village is located in close proximity to key amenities and facilities, with public transport within metres of the Village. Frequent food and wine shows, art exhibits and markets mean that there is always something for residents to do.

WAGGA - Wagga Wagga, NSW

Ingenia Garden Villages Wagga is located in Wagga Wagga, the largest inland city in NSW. Situated on the Murrumbidgee River, the city is approximately half way between Sydney and Melbourne. The Village is located close to public transport with access to medical, retail and recreation facilities.

WARRNAMBOOL - Warrnambool, VIC

Ingenia Garden Villages Warrnambool is situated in Warrnambool, just 12 kilometres from the Western end of Victoria's Great Ocean Road on the south-western coast of Victoria. The location offers a range of beaches at the city's doorstep. Golf, shopping, bowls as well as medical facilities and a public library and RSL. Club are all available in Warrnambool.

Acquired Title Site area Total units Occupancy

June 2004 Freehold 6.280 sam 52 98%

Acquired Title Site area Total units Occupancy

June 2013 Ereehold 5.900 sam 50 76%

Acquired Title Site area Total units Occupancy

January 2014 Freehold 6,000 sam 49 86%

64 INGENIA COMMUNITIES | PROPERTY PORTFOLIO 2016

YAKAMIA - Yakamia, WA

Ingenia Garden Villages Yakamia is located in Yakamia, an inner suburb of the port city Albany, approximately 400 kilometres south of Perth. Albany is home to a range of natural attractions and is also a popular arts centre. Yakamia Gardens is located within walking distance of shopping and public transport in an area offering a range of leisure activities. including bowling and bridge.

Acquired	June 2004
Title	Freehold
Site area	7.300 sam
Total units
Occupancy

INGENIA SETTLERS

Ingenia Settlers

Ingenia's Settlers Communities provide traditional retirement living for selffunded retirees

Ingenia has delivered solid development sales across the portfolio, supplementing deferred management fee and capital gain earnings

Limited growth capital has been invested into the Portfolio over the past 12 months which has resulted in new unit settlements declining

Ingenia's focus is on maximising returns whilst seeking to exit the portfolio

At 30 June 2016 the Portfolio comprises 8 villages with a book value of \$62.5 million

William Committee

Portfolio overview

Development Portfolio

	30 June 2016	30 June 2015
New unit settlements	29
Average price (\$'000)	I56	기니
Contracted and reserved

Settlers snapshot

• Average resident tenure 7.5 years
• 97% occupancy

Established Portfolio

	30 June 2016	30 June 2015
Established unit turnover
Average resale price (\$,000)	295	314
Average DMF collected on exit 151000)	55

INGENIA SETTLERS VILLAGES PROVIDE INDEPENDENT LIVING WITH A RANGE OF ACTIVITIES AND SERVICES

Portfolio statistics: Ingenia Settlers

Property	Location	Asset Value 30 June 2016 \$m\$	Total Units	Occupancy 30 June 2016	Occupancy 30 June 2015
Ridgewood Rise	Ridgewood, WA	19.7	240	100%	98%
Gladstone	South Gladstone, QLD	29	56	96%	96%
Lakeside	Ravenswood, WA	20.6	243	98%	94%
Rockhampton	Rockhampton, QLD	3.3	74	92%	88%
Cessnock	Cessnock, NSW	3.0	39	100%	87%
Meadow Springs	Mandurah, WA	5.3	56	96%	91%
Ridge Estate 1	Gillieston Heights, NSW	3.7	44	84%	73%
Forest Lake 1	Forest Lake, QLD	4.0	86	97%	88%
TOTAL / AVERAGE - SETTLERS VILLAGES		62.5	838	97%	93%

1 Occupancy impacted by new development and addition of conversion homes.

Sales

	Lakeside	Meadow Springs	Ridgewood Rise	Cessnock	Ridge Estate	Rockhampton	Forest Lake	Gladstone	Total
12 months to 30 June 2016
No. of new sales		$\overline{\phantom{a}}$	$\overline{\phantom{a}}$	6	5	3	14	Ξ	29
Average new sales prices (\$'000)	335	$\sim$	$\sim$	167	328	145	154	$\hspace{0.1mm}-\hspace{0.1mm}$	156
No. of resales	5	$\overline{\phantom{a}}$	5	÷	$\overline{\phantom{a}}$	3	4	$\overline{1}$	18
Average resale prices	327	$\sim$	412	$\sim$	-	188	208	220	295
(\$'000)
DMF collected on exit	505	$\sim$	356	$\rightarrow$	÷	47	58	22	987
(\$'000)
Average resident tenure on exit (yrs)	12.3	$\sim$	6.6	$\sim$		2.6	2.0	3.0	6.3
As at 30 June 2016
Units available for sale	6	$\overline{2}$	$\overline{\phantom{a}}$	$\overline{m}$ .	$\overline{7}$	6	3	$\overline{2}$	26
Occupancy $(\%)^{\dagger}$	98%	96%	100%	100%	84%	92%	97%	96%	97%
Average resident entry age (yrs)	68	68	70	75	73	74	71	74	70
Average resident age (yrs)	78	77	77	80	76	77	74	77	77
Average resident tenure (yrs)	10.4	8.8	8.0	2.1	2.8	3.1	2.0	3.7	7.5

1 Occupancy for traditional DMF Villages includes units which may not be physically occupied but are contractually subject to DMF fees.

SETTLERS CESSNOCK- Cessnock, NSW

Ingenia Settlers Cessnock is located in the Hunter Region of NSW, around 50 kilometres from Newcastle and only 30 kilometres from Maitland. The Village is a short walk to public transport and has easy access to local shopping. medical and leisure facilities. Facilities include a community centre, undercover parking, community garden and BBQ area.

Asset Strategy

Originally part of the Ingenia Garden Villages portfolio, Settlers Cessnock is in the process of conversion to DMF with designs completed for the conversion of the next available stage. The Village has further development opportunity on adjacent land.

June 2004 Freehold 39 100%

SETTLERS FOREST LAKE - Forest Lake, QLD

Ingenia Settlers Forest Lake is located in a masterplanned Delfin community set around a lake and ringed by picturesque walking tracks. The Village is approximately 30 kilometres from the Brisbane CBD and has easy access to the city via public transport. Facilities include beautiful landscaped gardens, a community centre. undercover parking, community garden and BBQ area.

Asset Strategy

Acquired

Total units

Occupancy

Title

Ingenia's focus is on selling the remaining conversion stock of Independent Living Units Further value will be derived from future Deferred Management Fees.

November 2005 Freehold 86 97%

November 2005 Freehold 56 96%

SETTLERS GLADSTONE- Gladstone, QLD

Ingenia Settlers Gladstone is located in South Gladstone, 500 kilometres north of Brisbane. surrounded by beautiful coastline, rural lands and national parks. The Village provides a coastal lifestyle close to amenities and the water. Facilities include a community centre. undercover parking, community garden and BBQ area.

Asset Strategy

Ingenia has largely completed the conversion of the Village from rental to DMF, with only two units remaining. Further opportunity exists on adjacent vacant land for approximately 60 independent living units.

SETTLERS LAKESIDE - Ravenswood, WA

Ingenia Settlers Lakeside is located in the Peel Region, minutes from the city of Mandurah and heritage town of Pinjarra. The Village is close to town in a peaceful rural setting. Facilities include a pool, bowling green, gym, tennis court and a library. In addition the Village includes a community centre, community garden, men's shed. BBQ area and consultation rooms.

Asset Strategy

Acquired

Total units

Occupancy

Title

Ingenia Settlers Lakeside is a stable Village which is continuing to mature. Growing DMF fees are expected as the WA residential market recovers and resident tenure increases.

April 2007

Ereehold

243

98%

SETTLERS MEADOW SPRINGS -Mandurah, WA

Ingenia Settlers Meadow Springs is located just minutes from the coastal city of Mandurah, with its beautiful foreshore and coastline. The Village adioins the Meadow Springs Golf and Country Club and is within easy walking distance to local shopping. Facilities include a community centre, pool, tennis court, bowling green, BBQ area. community garden and consulting rooms as well. as a gymnasium, library, lounge and dining room.

Asset Strategy

Development opportunity remains on adjacent. land adjoining the local golf course. This land has the potential to accommodate a further 60 Independent Living Units.

April 2007 Acquired Title Freehold 56 Total units 96% Occupancy

SETTLERS RIDGE ESTATE -Gillieston Heights, NSW

Ingenia Settlers Ridge Estate is located in the Hunter Valley Region. The Village includes 44 homes, and is minutes from the Maitland CBD and only 35 kilometres from Newcastle, set within a rural environment. Facilities include a community centre, undercover parking, community garden, bowling green and BBQ area

Asset Strategy

Development of the Village has been completed with 5 units remaining from Stages 2 and 3.

Acquired	July 2012
Title	Freehold
Total units	44
Occupancy	84%

SETTLERS RIDGEWOOD RISE -Ridgewood, WA

Ingenia Settlers Ridgewood Rise is situated just 40 minutes north of Perth, within close proximity of the coastline and the Mindarie Keys. Marina. The Village is close to public transport with medical and retail facilities nearby. Facilities include community centre, indoor pool, gym. men's shed, library, consultation rooms. community garden, BBQ area and bowling green.

Asset Strategy

Ridgewood Rise is a large scale village that is continuing to mature with growing DMF fees expected as the WA residential market recovers and resident tenure increases.

SETTLERS ROCKHAMPTON -Rockhampton, QLD

Ingenia Settlers Rockhampton is located in Rockhampton, a city on the banks of the Fitzrov River approximately 600 kilometres north of Brisbane. Rockhampton has extensive shopping. sporting and social clubs. Facilities include a community centre, undercover parking, community garden and BBQ area.

Asset Strategy

Ingenia has largely completed the conversion of the Village from rental to DMF with 3 unsold units remaining. Further opportunity exists on adjacent vacant land.

Acquired Title Total units Occupancy April 2007 Freehold. $240 -$ 100%

Acquired Title Total units Occupancy November 2005 Freehold $74$ 92%

Disclaimer

This presentation was prepared by Ingenia Communities Holdings Limited (ACN 154 444 925) and Ingenia Communities RE Limited (ACN 154 464 990) as responsible entity for Ingenia Communities Fund (ARSN 107 459 576) and Ingenia Communities Management Trust (ARSN 122 928 410) (together Ingenia Communities Group, INA or the Group). Information contained in this presentation is current as at 23 August 2016 unless otherwise stated.

This presentation is provided for information purposes only and has been prepared without taking account of any particular reader's financial situation, objectives or needs. Nothing contained in this presentation constitutes investment, legal, tax or other advice. Accordingly. readers should, before acting on any information in this presentation, consider its appropriateness, having regard to their objectives, financial situation and needs, and seek the assistance of their financial or other licensed professional adviser before making any investment decision.

This presentation does not constitute an offer, invitation, solicitation or recommendation with respect to the subscription for, purchase or sale of any security, nor does it form the basis of any contract or commitment.

Except as required by law, no representation or warranty, express or implied, is made as to the fairness, accuracy or completeness of the information, opinions and conclusions. or as to the reasonableness of any assumption, contained in this presentation. By reading this presentation and to the extent permitted by law, the reader releases each entity in the Group and its affiliates, and any of their respective directors. officers, employees, representatives or advisers from any liability (including, without limitation, in respect of direct, indirect or consequential loss or damage or loss or damage arising by negligence) arising in relation to any reader relying on anything contained in or omitted from this presentation.

The forward looking statements included in this presentation involve subjective judgment and analysis and are subject to

significant uncertainties, risks and contingencies, many of which are outside the control of, and are unknown to, the Group in particular, they speak only as of the date of these materials, they assume the success of the Group's business. strategies, and they are subject to significant regulatory, business, competitive and economic uncertainties and risks. Actual future events may vary materially from forward looking statements and the assumptions on which those statements are based. Given these uncertainties, readers are cautioned not to place undue reliance on such forward. looking statements.

The Group, or persons associated with it, may have an interest in the securities mentioned in this presentation, and may earn fees as a result of transactions described in this presentation or transactions in securities in INA.

This document is not an offer to sell or a solicitation of an offer to subscribe or purchase or a recommendation of any securities.