MIRVAC GROUP — Interim / Quarterly Report 2008

Dec 19, 2007

==> picture [494 x 128] intentionally omitted <==

20 December 2007

MIRVAC GROUP UPDATE

Mirvac Group ( Mirvac ) [ASX:MGR] is pleased to present its six monthly operational update to address recent activity across the Group and also comment on its capital management in light of recent market issues.

STRONG CAPITAL MANAGEMENT

Mirvac confirms that as at 30 June 2007 it had a weighted average debt maturity of 4.2 years at an average annual borrowing rate of 6.79 per cent. Further, the Group has no short term debt due for repayment and has long term facilities of over $3.3 billion with $873 million of available liquidity via its committed undrawn bank lines.

Mirvac’s Managing Director, Greg Paramor said, “The Group maintains its strong capital position with gearing of approximately 37 per cent remaining within its previously stated target range and only limited debt expiry ($138 million) over the next 17 months.”

Mirvac will continue to update the market on its capital management and further disclosure will be included in its half yearly results to be released in February 2008.

OPERATIONAL UPDATE

Funds Management

Internal Funds Management

• Mirvac Property Trust ( MPT ) announced the results of independent valuations on ten of MPT’s commercial, industrial and retail assets for the half year ending 31 December 2007. The assets received an uplift of $93.9 million or 13.4 per cent.

• On 3 December 2007, MPT disposed of 127 Creek Street, Brisbane for $133 million. This disposal is in line with MPT’s investment strategy to appropriately rebalance the portfolio and seek prudent reinvestment.

• MPT announced in September 2007 that it has leased more than 7,000 square metres of space to the Commonwealth of Australia at 101 Miller Street, North Sydney, representing 20 per cent of the premium grade office tower. The Commonwealth of Australia has committed to an initial period of ten years commencing August 2008.

Mirvac’s recently commenced building transformation of 101 Miller Street will now set new industry standards by achieving the first 5 star Australian Building Greenhouse Rating (ABGR) representing exceptional greenhouse performance for an existing premium building through the use of a state of the art trigeneration plant.

==> picture [263 x 30] intentionally omitted <==

==> picture [494 x 128] intentionally omitted <==

Nicholas Collishaw, Executive Director, Funds Management commented that “Mirvac continues to apply cutting edge environmental measures in its developments and is committed to maintaining industry leadership in the preservation of the environment.

“101 will set a new benchmark in how existing buildings can deliver environmental benefits and although most of these principles are not new, never before in Australia have they been used in an existing high rise office building.”

External Funds Management

• Mirvac Real Estate Investment Trust [ASX Code: MRZ] announced in September 2007 that it had entered into a conditional option for lease with the Department of Health and Ageing, and a conditional Development Agreement with Jure Investments and DOMA Constructions (members of the DOMA Group) to construct and deliver a new 45,000 square metre office complex in Canberra.

• Mirvac Industrial Trust [ASX Code: MIX] recently announced its intention to conduct an onmarket buy-back of up to 10 per cent of the total MIX units on issue or 36,965,336 units. The buy-back will be funded via existing cash reserves from the recently completed non-core asset sales and from the proceeds of any future non-core asset/land sales. The buy-back will commence on 2 January 2008.

• Mirvac’s UK-based subsidiary, Chantrey, successfully completed its first capital raising for the City Regeneration Fund, which has acquired Broadway Chambers in Stratford for redevelopment.

• Mirvac acquired full ownership of two boutique funds management businesses – Domaine Property Funds and Property Funds Australia in September and October respectively, together managing Mirvac’s $1.0 billion of retail investments.

New Appointment

Mirvac is pleased to advise the appointment of Gary Flowers as Chief Operating Officer of the Funds Management division. Mirvac has $13.3 billion of funds under management and Gary will assume operational responsibility for all the Group’s Funds Management’s business units, working closely with each business unit manager. Gary was previously Managing Director and CEO of Australian Rugby Union and prior to that, was National Managing Partner of Sparke Helmore Lawyers for ten years.

Mr Collishaw said, “Gary Flowers’ extensive management experience makes him ideally placed to coordinate activity and develop strategy across the funds management businesses. Gary will be a key participant in the growth of the Funds Management division and the future development of Mirvac’s diversified business platform."

Development

NSW & ACT

• On 14 December 2007 Mirvac in 50/50 joint venture with Leighton Properties successfully acquired a 26,844 square metre site in London Circuit, Canberra for $92 million, with settlement expected in March 2008.

==> picture [263 x 30] intentionally omitted <==

==> picture [494 x 128] intentionally omitted <==

Mirvac’s Executive Director of Development, Mr Adrian Fini said, “This was one of the most sought after development sites in Canberra and provides a great opportunity for us to create an exciting new major city precinct delivering leading edge development standards to meet the needs of the Canberra business and residential community.”

• Mirvac and Landcom announced on 12 October 2007 a joint venture to deliver 1,200 lots in southwest Sydney. Mirvac will utilise its award-winning design and development expertise to provide a diversity of housing types which are flexible, durable and sustainable.

• Residential sales update:

• Rhodes “Tandara” - The apartment development at Rhodes in Sydney was launched in November with steady sales at launch. Currently contracts have exchanged for over 50 per cent of stock.

QLD

• On 2 October 2007 Mirvac announced that it had acquired 565 hectares of industrial landbanks across five strategically positioned sites in Queensland’s major growth corridors for $255 million. Two sites have settled with the balance being acquired progressively over the next two years, and will be developed by Mirvac under an exclusive arrangement with development partner Industrial Commercial Property Solutions (ICPS). This acquisition provides Mirvac with the opportunity to deliver high quality investment grade industrial assets into Mirvac’s current and future funds.

• Mirvac sold two development sites at Hope Island along with the Hope Island Resort golf course and golf club, the resort marina and boardwalk tavern in October for a profit of approximately $16 million after a short period of ownership.

• Development Approval for the $1.1 billion masterplanned community at Gainsborough Greens was received in November. Gainsborough Greens comprises an existing 18-hole golf course and the development will provide approximately 2,300 dwellings over the next ten years.

• Residential sales update:

• Brisbane “Tennyson Reach” - Four day sales blitz for the first apartment release at Tennyson Reach recorded $170 million in sales. Prices ranged from $935,000 through to in excess of $4.85 million.

• Townsville “Mariner’s Peninsula” - The recent release of the $200 million luxury residential development on the waterfront in Townsville recorded $81 million in sales in less than a week.

VIC

• In joint venture with AustralianSuper, Mirvac acquired a $30 million landmark Melbourne CBD site at 664 Collins Street on 10 October 2007, on which Mirvac intends to construct a $250 million office building. The acquisition is in line with Mirvac’s stated objective of significantly increasing its non-residential development pipeline.

==> picture [263 x 30] intentionally omitted <==

==> picture [494 x 128] intentionally omitted <==

• Residential sales update:

• Docklands “Yarra's Edge” - The release of the River Precinct homes recorded sales of all 27 homes within 24 hours for a total of $60 million at this prime location.

• Waverley Park – With over 600 lots now released and sold to date, this development is now achieving above average sales rates and prices. 25 Oval Front Homes released have experienced a 27.7 per cent price growth since their first release in 2006.

WA

• On 20 November 2007 Mirvac was chosen as the preferred proponent for $100 million landmark hotel and residential development in Port Hedland. The three hectare site will be transformed into a landmark oceanfront precinct including a 4 star, 116 key hotel managed by Mirvac Hotels & Resorts with a restaurant, bar, coffee shop, conference facilities and a residential component providing approximately 50 dwellings made up of apartments and small lot housing.

• Residential sales update:

• Burswood “Aquarius” - The fifth apartment tower at The Peninsula was a complete sellout at the VIP sales release. More than $54 million of luxury apartments were sold, being a mix of 2, 3 and 4 bedroom designs.

• Leighton Beach “Beachside Leighton” - The first stage of Beachside Leighton was a sellout at release, achieving in excess of $190 million in sales with an average price of over $3.1 million. The mix included two, three and four bedroom apartments and luxury two-level penthouses.

SUMMARY

Mirvac reaffirms its previous EPS and DPS guidance of 34.3 cents and 32.9 cents respectively for FY08.

Greg Paramor and his management team remain committed to the strategy of continued growth of Mirvac and delivery of securityholder returns.

Mirvac continually looks for growth from all forms of business activity and will continue to explore opportunities that add value to its securityholders.

For more information, please contact:

Greg Paramor Nicholas Collishaw Adrian Fini Managing Director Executive Director, Funds Management Executive Director, Development T +61 2 9080 8000 T +61 2 9080 8000 T +61 8 9424 9900

Mirvac is a leading ASX-listed, integrated real estate group with more than $26.3 billion of activities under control across the real estate funds management and development spectrum.

==> picture [263 x 30] intentionally omitted <==