RAM Australia Retail Property Fund ARSN 634 136 682

Annual Report - 30 June 2021

RAM Australia Retail Property Fund Directors' report 30 June 2021

The Directors of RAM Property Funds Management Limited ("RAM"), the Trustee of RAM Australia Retail Property Fund ("the Fund"), present their report together with the Financial Report made in accordance with a resolution of the Directors with respect to the results of the Trust and its controlled entities ("the consolidated entity") for the year ended 30 June 2021, the state of the consolidated entity's affairs as at 30 June 2021 and the Independent Auditor's Report thereon.

The Trust commenced on 28 September 2016 and RAM was appointed Trustee on the 28 June 2019. Prior to this Real Asset Management Pty Ltd was the Trustee of the Fund since establishment. RAM is an unlisted private company incorporated under the Corporations Act 2001 and holds an Australian financial services license.

It is likely that this report will be the last for the Fund as a stand-alone entity as it is anticipated the Fund will be stapled to the RAM Australia Medical Property Fund to form the new stapled entity RAM Essential Services Property Fund in October 2021.

Directors

The Directors of the Trustee of the Fund at any time during or since the end of the financial period ("the Directors") are:

Scott Wehl

Chairman

Scott has over 20 years of experience in Global Wealth Management and Corporate Banking working for top tier global banks in Australia, London, and Hong Kong.

Prior to founding Real Asset Management, Scott was a Managing Director and Head of Banking Products International for UBS Wealth Management (“UBS WM”), leading a team of finance professionals in 17 countries. Over a 13-year career with UBS WM, Scott held various roles including the Head of Banking Products in the United Kingdom, and Head of Banking Products Asia Pacific.

Prior to joining UBS WM, Scott began his finance career in corporate banking with National Australia Bank in Brisbane, Australia.

Scott holds a Bachelor of Commerce from Griffith University Australia, and an Executive MBA jointly from Kellogg Business School and the Hong Kong University of Science and Technology.

Scott Kelly

Managing Director, CEO Australia

Scott has over 25 years of experience in Global Wealth Management and Asset Management, working for top tier financial institutions in Australia and the United Kingdom.

Prior to joining Real Asset Management, Scott was a Managing Director and Head of Investment Products and Services for UBS Wealth Management Australia. There he oversaw the entire product offering for Australia’s premier wealth manager with $A24bn of assets under management.

Scott has also held the position of National Sales Director for Macquarie Private Wealth Australia. Prior to this Scott cofounded and was Managing Director of Corazon Capital, a specialist wealth and asset management business based in Jersey. Scott was also the Joint Head of Private Clients at Kleinwort Benson, after starting his financial career with Mercury Asset Management in London.

Scott holds a B.A. (Hons) degree in Business Management from the University of Leeds and is a Chartered Member of the Chartered Institute of Securities & Investment, UK.

Steven Pritchard

Director - (appointed 1 September 2020, resigned 28 September 2021)

Steven is the Managing Partner of Rees Pritchard Professional Services and is a Certified Practising Accountant and a member of the Stock Exchange of Newcastle Limited, a Director of Pritchard & Partners Pty Limited, Rees Pritchard Pty Limited and a number of private and public companies. Steven was previously the Chairman of the Australian Society of Certified Practising Accountants Newcastle and Hunter Valley Branch and has over 25 years experience in providing financial and investment advice to a wide range of private and corporate clients.

Suzanne Hutchinson

Director

Suzanne is the Financial Officer for Real Asset Management Australia and is based in Melbourne. Suzanne has worked in professional corporate services organisations for over 24 years, including Boeing and Accenture, and holds a Bachelor of Information Technology.

RAM Australia Retail Property Fund Directors' report 30 June 2021

Principal activity

The Fund is a registered managed investment scheme domiciled in Australia. The principal objective of the Fund is to invest in accordance with the investment objectives and guidelines set out in its current Product Disclosure Statement and in accordance with the provisions of its Constitution.

The principal activities of the Fund include acquiring and disposing of investment properties in Australia.

There has been no significant change in the activities of the Fund during the financial year.

Impact of COVID-19

The events relating to COVID-19 have had an adverse impact on the financial performance of the Fund. These impacts have included:

trading restrictions imposed on some of our tenants
the National Cabinet Mandatory Code of Conduct enacted in each state
increases in operational expenses related to the COVID-19 pandemic
reductions in the fair value of our investment properties

The National Cabinet Mandatory Code of Conduct requires the Fund to offer eligible tenants a proportionate reduction in rent payable during the COVID-19 pandemic period. These reductions take the form of rental waivers and deferrals of up to 100% of the amount of rent ordinarily payable. The reductions are based on the tenant's trade during the period. Rental waivers must constitute no less than 50% of the total reduction in rent payable with the other 50% in the form of rental deferrals. $104,000 in rental abatements have been made available to tenants by the Fund with a total of $16,000 in rental deferrals being offered during the year.

The Code also provides that Landlords where appropriate waive recovery of any other expense by a tenant while the tenant is unable to trade. A total of $26,000 has been waived from tenant's recurring service charges.

For tenants that are not covered by the Mandatory Code of Conduct, the Fund has accessed the tenants on an individual basis.

Due to the continued uncertainty related to the COVID-19 pandemic, rental income that has been invoiced in the period which remains unpaid due the tenant being granted a COVID-19 rental payment deferral have been provisioned against. A Provision for Doubtful Debts has been raised against all rental payment deferrals in FY21 totalling $16,000.

Property portfolio

The investment portfolio as at 30 June 2021 consisted of 13 shopping centres (30 June 2020: 11 shopping centres) valued at $384,287,000 (30 June 2019: $337,160,000). The investment portfolio consists of convenience based neighbourhood shopping centres with a strong weighting towards non-discretionary retail segments.

Acquisitions

The Fund made two acquisitions during the year.

The North Lakes No. 1 Trust was purchased on the 7th of May 2021 by way of unit purchase for $3,980,000. The Trust holds a convenience retail neighbourhood shopping centre at North Lakes in Queensland.

RAM Australia Keppel Bay Plaza Trust was purchased by way of unit purchase and cash consideration on the 8th of June 2021 for $16,575,165. The Trust holds a convenience retail neighbourhood shopping centre at Yeppoon in Queensland.

Disposals

No property disposals occurred during the year.

Review of operations

The profit for the Fund amounted to $8,680,000 (30 June 2020: $8,505,000).

The results of operations of the Fund are disclosed in the statement of profit and loss and other comprehensive income. The profit recorded for the financial year decreased 30% compared with the previous year.

	FY21	FY20
Net profit after tax	$8,680,000	$8,505,000
Weighted earning per unit	$0.0535	$0.0582
Distributions paid or payable	$10,589,000	$10,473,000
Net assets per unit	$1.0101	$1.0150
Increase / (decrease) unit price	(0.48%)	(1.56%)

RAM Australia Retail Property Fund Directors' report 30 June 2021

Contributed Equity

The fund had the below movements in equity during the year:

Opening balance New units issued Dividend reinvestments Unit redemptions	FY21 Units 189,534,458 34,566,384 622,602 (8,889,789)	FY20 Units 168,572,257 40,804,763 290,938 (20,133,500)
	215,833,655	189,534,458

Matters subsequent to the end of the financial year

The Fund entered into an Implementation Deed and Stapling Deed on the 30th of September 2021. The Fund is to be stapled to RAM Australia Medical Property Fund to form the Stapled Entity RAM Essential Services Property Fund.

On the 25th of October 2021, the Stapled Entity is to be listed on the Australian Stock Exchange as an Australian Real Estate Investment Trust (REIT). A Product Disclosure Statement was lodged with the ASX on the 30th of September 2021.

On the 3rd of September 2021, the Fund acquired 50% of the shares in RAM Essential Services FinCo Pty Ltd.

On the 24th of September 2021, RAM Essential Services Finco Pty Ltd entered into a Syndicated Facility Agreement with the Commonwealth Bank of Australia and CBA Corporate Services (NSW) Pty Ltd. The Facility will be used to refinance the existing debt facilities for the stapled entities, and to fund the planned acquisitions of the Fund. The facility limit is $250,000,000, with a Loan to Value covenant of 50% and an Interest Coverage Ratio covenant of 2.0 times EBITDA.

Likely developments and expected results of operations

The Trustee will continue to pursue commercial retail property opportunities and review investment management strategies with a view to optimising both the income and capital return over the investment term.

Environmental regulation

The consolidated entity's operations are subject to various environmental regulations under both Commonwealth and State legislation. The Trustee believes that the consolidated entity has adequate systems in place for the management of its environmental responsibilities and is not aware of any breach of environmental requirements as they may apply to the consolidated entity.

Related parties

Trustee Entity's remuneration

The Trustee charged a trustee fee of 1.00% p.a. (net 0.65% after the reduction of asset management fees), of the gross assets of the consolidated entity calculated monthly. The Trustee is also entitled to receive a Responsible Entity Fee of 0.075% of the Fund's gross assets and an Administration Fee calculated at 0.50% of the aggregate income distributions payable to unitholders. The Trustee is entitled to recover all fees deferred either from consolidated entity earnings or on the winding up of the consolidated entity. The Trustee charges are set out in Note 22 of the Financial Report.

Asset management fees

RAM Australia Property Services Pty Ltd has been appointed as the Asset Manager for the controlled entities. The fee for their services is 0.35% p.a. of the gross assets of the entity. This fee is included within the Trustee's Management Fee. The Asset Manager is also entitled to a Performance Fee of 35% payable on returns in excess of a 8% hurdle rate in each three year period from acquisition.

Directors' interests

No directors of the Trustee held any units in the Trust at the date of this report.

Indemnity and insurance of officers

Indemnification

Under the Trust's Constitution, the Trustees, including its officers and employees, are indemnified out of the consolidated entity's assets for any loss, damage, expense or other liability incurred by it in properly performing or exercising any of its powers, duties or rights in relation to the consolidated entity.

The consolidated entity has not indemnified or made a relevant agreement for indemnifying against a liability in respect of any person who is the auditor of the consolidated entity.

RAM Australia Retail Property Fund Directors' report 30 June 2021

Indemnity and insurance of auditor

The consolidated entity has not indemnified or made a relevant agreement for indemnifying against a liability in respect of any person who is the auditor of the consolidated entity.

Proceedings on behalf of the trust

No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of the Trust, or to intervene in any proceedings to which the Trust is a party for the purpose of taking responsibility on behalf of the Trust for all or part of those proceedings.

Rounding of amounts

The Trust is of a kind referred to in Corporations Instrument 2016/191, issued by the Australian Securities and Investments Commission, relating to 'rounding-off'. Amounts in this report have been rounded off in accordance with that Corporations Instrument to the nearest thousand dollars, or in certain cases, the nearest dollar.

Auditor's independence declaration

A copy of the auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out immediately after this directors' report.

This report is made in accordance with a resolution of directors, pursuant to section 298(2)(a) of the Corporations Act 2001.

On behalf of the directors

==> picture [21 x 23] intentionally omitted <==

_____ ____ Suzanne Hutchinson Director

__ ______ _______

Scott Ke lly Director

12 October 2021

��

��
�� Corporations Act 2001 ��
��

==> picture [75 x 47] intentionally omitted <==

��

==> picture [133 x 43] intentionally omitted <==

��

PKF(NS) Audit & Assurance Limited Partnership ABN 91 850 861 839

Liability limited by a scheme approved under Professional Standards Legislation

Sydney Newcastle Level 8, 1 O’Connell Street 755 Hunter Street Sydney NSW 2000 Australia Newcastle West NSW 2302 Australia GPO Box 5446 Sydney NSW 2001 PO Box 2368 Dangar NSW 2309 p +61 2 8346 6000 p +61 2 4962 2688 f +61 2 8346 6099 f +61 2 4962 3245

PKF(NS) Audit & Assurance Limited Partnership is a member firm of the PKF International Limited family of legally independent firms and does not accept any responsibility or liability for the actions or inactions of any individual member or correspondent firm or firms. For office locations visit www.pkf.com.au

��

RAM Australia Retail Property Fund
Contents
30 June 2021
Statement of profit or loss and other comprehensive income	7
Statement of financial position	8
Statement of changes in equity	9
Statement of cash flows	10
Notes to the financial statements	11
Directors' declaration	27
Independent auditor's report to the members of RAM Australia Retail Property Fund	28

RAM Australia Retail Property Fund Statement of profit or loss and other comprehensive income For the year ended 30 June 2021

Note Revenue Other income 4 Interest revenue calculated using the effective interest method Rent from investment properties Unrealised gains / (losses) on revaluation of property Unrealised gains / (losses) on revaluation of REIT investments Total revenue Expenses Auditor's remuneration 5 Investment property expenses Other expenses Depreciation and amortisation expense Trustee fees Property manager fees Finance expenses relating to interest-bearing liabilities Total expenses Profit for the year attributable to the owners of RAM Australia Retail Property Fund 18 Other comprehensive income for the year Total comprehensive income for the year attributable to the owners of RAM Australia Retail Property Fund	Consolidated 2021 2020 $'000 $'000 57 19 2 40 29,099 26,147 1,553 4,445 131 (270)	Consolidated 2021 2020 $'000 $'000 57 19 2 40 29,099 26,147 1,553 4,445 131 (270)
	30,842	30,381
	(40) (6,978) (779) (2,140) (6,400) (1,456) (4,369)	(51) (5,819) (675) (1,365) (8,349) (1,141) (4,476)
	(22,162)	(21,876)
	8,680 -	8,505 -
	8,680	8,505

The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying

notes

RAM Australia Retail Property Fund Statement of financial position As at 30 June 2021

Note Assets Current assets Cash and cash equivalents 6 Trade and other receivables 7 Financial assets at fair value through profit or loss 8 Other current assets 9 Total current assets Non-current assets Investment properties 10 Intangibles 11 Other non-current assets 12 Total non-current assets Total assets Liabilities Current liabilities Trade and other payables 13 Interest bearing loans and borrowings 14 Total current liabilities Non-current liabilities Other payables 15 Interest bearing loans and borrowings 16 Total non-current liabilities Total liabilities Net assets Unitholder's Funds Issued units 17 Undistributed profits 18 Total unitholder's funds	Consolidated 2021 2020 $'000 $'000 6,563 9,175 4,511 2,348 864 722 2,099 858	Consolidated 2021 2020 $'000 $'000 6,563 9,175 4,511 2,348 864 722 2,099 858
	14,037	13,103
	384,287 3,808 2,173	337,160 - 1,510
	390,268	338,670
	404,305	351,773
	14,471 171,757	8,941 -
	186,228	8,941
	62 -	3,092 147,362
	62	150,454
	186,290	159,395
	218,015	192,378
	214,424 3,591	188,766 3,612
	218,015	192,378

The above statement of financial position should be read in conjunction with the accompanying notes

RAM Australia Retail Property Fund Statement of changes in equity For the year ended 30 June 2021

Units on issue $'000 168,240 - -	Undistributed profits $'000 5,580 8,505 -	Total unitholder's funds $'000 173,820 8,505 -
- 20,526 -	8,505 - (10,473)	8,505 20,526 (10,473)
188,766	3,612	192,378
Units on issue $'000 188,766 - -	Undistributed profits $'000 3,612 8,680 -	Total unitholder's funds $'000 192,378 8,680 -
- 25,658 -	8,680 1,888 (10,589)	8,680 27,546 (10,589)
214,424	3,591	218,015

The above statement of changes in equity should be read in conjunction with the accompanying notes

RAM Australia Retail Property Fund Statement of cash flows For the year ended 30 June 2021

Note Cash flows from operating activities Receipts from customers (inclusive of GST) Payments to suppliers (inclusive of GST) Dividends received Interest received Interest and other finance costs paid Net cash from operating activities 27 Cash flows from investing activities Payments for investments Payments for investment property 10 Net cash used in investing activities Cash flows from financing activities Proceeds from issue of units 17 Proceeds from borrowings Distributions paid 19 Repayment of borrowings Net cash from financing activities Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at the beginning of the financial year Cash and cash equivalents at the end of the financial year 6	Consolidated 2021 2020 $'000 $'000 32,553 27,970 (21,618) (13,663)	Consolidated 2021 2020 $'000 $'000 32,553 27,970 (21,618) (13,663)
	10,935 57 2 (3,743)	14,307 5 41 (3,817)
	7,251	10,536
	(11) (35,652)	(992) (13,696)
	(35,663)	(14,688)
	13,894 24,253 (10,870) (1,477)	20,526 - (11,213) (1,688)
	25,800	7,625
	(2,612) 9,175	3,473 5,702
	6,563	9,175

The above statement of cash flows should be read in conjunction with the accompanying notes

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 1. General information

The financial statements cover RAM Australia Retail Property Fund as a Fund consisting of RAM Australia Retail Property Fund and the entities it controlled at the end of, or during, the year. The financial statements are presented in Australian dollars, which is RAM Australia Retail Property Fund's functional and presentation currency.

RAM Australia Retail Property Fund is an unlisted registered Managed Investment Trust, incorporated and domiciled in Australia.

Registered office

Principal place of business

Suite 32.1 Suite 32.1 264 George Street 264 George Street Sydney NSW 2000 Sydney NSW 2000

A description of the nature of the Fund's operations and its principal activities are included in the directors' report, which is not part of the financial statements.

The financial statements were authorised for issue, in accordance with a resolution of directors, on 12 October 2021. The directors have the power to amend and reissue the financial statements.

Note 2. Summary of significant accounting policies

Basis of preparation

In the director's opinion, the consolidated entity is not a reporting entity because there are no users dependent on general purpose financial statements.

These are special purpose financial statements that have been prepared for the purposes of complying with the Corporations Act 2001 requirements to prepare and distribute financial statements to the owners of RAM Australia Retail Property Fund. The directors have determined that the accounting policies adopted are appropriate to meet the needs of the owners of RAM Australia Retail Property Fund.

Historical cost convention

The financial statements have been prepared under the historical cost convention, except for, where applicable, the revaluation of financial assets and liabilities at fair value through profit or loss, financial assets at fair value through other comprehensive income, investment properties, certain classes of property, plant and equipment and derivative financial instruments.

Critical accounting estimates

The preparation of the financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the Fund's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements, are disclosed in note 3.

Parent entity information

In accordance with the Corporations Act 2001, these financial statements present the results of the consolidated entity only. Supplementary information about the parent entity is disclosed in note 23.

Principles of consolidation

The consolidated financial statements incorporate the assets and liabilities of all controlled entities of RAM Australia Retail Property Fund ('trust' or 'parent entity') as at 30 June 2021 and the results of all controlled entities for the year then ended. RAM Australia Retail Property Fund and its controlled entities together are referred to in these financial statements as the 'Fund'.

The Fund controls an entity when the Fund is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity. The controlled entities are fully consolidated from the date on which control is transferred to the Fund. They are de-consolidated from the date that control ceases.

Revenue recognition

Revenue is recognised at the fair value of the consideration received or receivable net of the amount of goods and services tax ("GST") levied. Revenue is recognised for the major business activities as follows:

Rent from investment properties

Rent from investment properties is recognised in the Profit and Loss on a straight-line basis over the lease term. Rent not received at balance date is reflected in the Statement of Financial Position as a receivable or if paid in advance, as rents in advance. Lease incentives granted are recognised over the lease term, on a straight line basis, as a reduction of rent.

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 2. Summary of significant accounting policies (continued)

Interest Income

Interest income is recognised in the Profit and Loss as it accrues using the effective interest method and, if not received at balance date, is reflected in the Statement of Financial Position as a receivable.

Income tax

Under current Australian income tax legislation, the Trust and the consolidated entity are not liable for income tax, provided that the taxable income (including any assessable component of any capital gains from the sale of investment assets) is fully distributed to Unitholders each year. Tax allowances for building, plant and equipment depreciation are distributed to Unitholders in the form of tax preferred components of distributions.

Cash and cash equivalents

Cash and cash equivalents includes cash on hand, deposits held at call with financial institutions, other short-term, highly liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.

Trade and other receivables

Other receivables are recognised at amortised cost, less any allowance for expected credit losses.

Investments and other financial assets

Investments and other financial assets are initially measured at fair value. Transaction costs are included as part of the initial measurement, except for financial assets at fair value through profit or loss. Such assets are subsequently measured at either amortised cost or fair value depending on their classification. Classification is determined based on both the business model within which such assets are held and the contractual cash flow characteristics of the financial asset unless an accounting mismatch is being avoided.

Financial assets are derecognised when the rights to receive cash flows have expired or have been transferred and the Fund has transferred substantially all the risks and rewards of ownership. When there is no reasonable expectation of recovering part or all of a financial asset, its carrying value is written off.

Financial assets at fair value through profit or loss

Financial assets not measured at amortised cost or at fair value through other comprehensive income are classified as financial assets at fair value through profit or loss. Typically, such financial assets will be either: (i) held for trading, where they are acquired for the purpose of selling in the short-term with an intention of making a profit, or a derivative; or (ii) designated as such upon initial recognition where permitted. Fair value movements are recognised in profit or loss.

Impairment of financial assets

The Fund recognises a loss allowance for expected credit losses on financial assets which are either measured at amortised cost or fair value through other comprehensive income. The measurement of the loss allowance depends upon the Fund's assessment at the end of each reporting period as to whether the financial instrument's credit risk has increased significantly since initial recognition, based on reasonable and supportable information that is available, without undue cost or effort to obtain.

Where there has not been a significant increase in exposure to credit risk since initial recognition, a 12-month expected credit loss allowance is estimated. This represents a portion of the asset's lifetime expected credit losses that is attributable to a default event that is possible within the next 12 months. Where a financial asset has become credit impaired or where it is determined that credit risk has increased significantly, the loss allowance is based on the asset's lifetime expected credit losses. The amount of expected credit loss recognised is measured on the basis of the probability weighted present value of anticipated cash shortfalls over the life of the instrument discounted at the original effective interest rate.

For financial assets mandatorily measured at fair value through other comprehensive income, the loss allowance is recognised in other comprehensive income with a corresponding expense through profit or loss. In all other cases, the loss allowance reduces the asset's carrying value with a corresponding expense through profit or loss.

Investment properties

Investment properties principally comprise of freehold land and buildings held for long-term rental and capital appreciation that are not occupied by the Fund. Investment properties are initially recognised at cost, including transaction costs, and are subsequently remeasured annually at fair value. Movements in fair value are recognised directly to profit or loss.

Investment properties are derecognised when disposed of or when there is no future economic benefit expected.

Transfers to and from investment properties to property, plant and equipment are determined by a change in use of owneroccupation. The fair value on the date of change of use from investment properties to property, plant and equipment are used as deemed cost for the subsequent accounting. The existing carrying amount of property, plant and equipment is used for the subsequent accounting cost of investment properties on the date of change of use.

Investment properties also include properties under construction for future use as investment properties. These are carried at fair value, or at cost where fair value cannot be reliably determined and the construction is incomplete.

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 2. Summary of significant accounting policies (continued)

Excess of Current Liabilities over Current Assets

As at 30 June 2021, the Fund's current liabilities $186,228,000 exceed its current assets $14,037,000 by $172,191,000.

The major contributor to this deficiency is the Commonwealth Bank of Australia senior debt facility to the Fund which expires on the 7th of June 2022.

The Directors of the Trustee company secured a new financing facility with the Commonwealth Bank of Australia on the 25th of September as disclosed in Note 26. It is on this basis that the Directors of the Trustee Company believe it appropriate the financial report be prepared on a going concern basis.

Intangible assets

Intangible assets acquired as part of a business combination, other than goodwill, are initially measured at their fair value at the date of the acquisition. Intangible assets acquired separately are initially recognised at cost. Indefinite life intangible assets are not amortised and are subsequently measured at cost less any impairment. Finite life intangible assets are subsequently measured at cost less amortisation and any impairment. The gains or losses recognised in profit or loss arising from the derecognition of intangible assets are measured as the difference between net disposal proceeds and the carrying amount of the intangible asset. The method and useful lives of finite life intangible assets are reviewed annually. Changes in the expected pattern of consumption or useful life are accounted for prospectively by changing the amortisation method or period.

Goodwill

Goodwill arises on the acquisition of a business. Goodwill is not amortised. Instead, goodwill is tested annually for impairment, or more frequently if events or changes in circumstances indicate that it might be impaired, and is carried at cost less accumulated impairment losses. Impairment losses on goodwill are taken to profit or loss and are not subsequently reversed.

Impairment of non-financial assets

Goodwill and other intangible assets that have an indefinite useful life are not subject to amortisation and are tested annually for impairment, or more frequently if events or changes in circumstances indicate that they might be impaired. Other nonfinancial assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount.

Recoverable amount is the higher of an asset's fair value less costs of disposal and value-in-use. The value-in-use is the present value of the estimated future cash flows relating to the asset using a pre-tax discount rate specific to the asset or cashgenerating unit to which the asset belongs. Assets that do not have independent cash flows are grouped together to form a cash-generating unit.

Trade and other payables

These amounts represent liabilities for goods and services provided to the Fund prior to the end of the financial year and which are unpaid. Due to their short-term nature they are measured at amortised cost and are not discounted. The amounts are unsecured and are usually paid within 30 days of recognition.

Borrowings

Loans and borrowings are initially recognised at the fair value of the consideration received, net of transaction costs. They are subsequently measured at amortised cost using the effective interest method.

Finance costs

Finance costs to external parties include interest, amortisation of discounts or premiums relating to borrowings and amortisation of ancillary costs incurred in connection with the arrangement of borrowings.

Finance costs to external parties are recognised as an expense in the Profit and Loss on an accruals basis, and if not paid at balance date, are reflected in the Statement of Financial Position as a liability.

Fair value measurement

When an asset or liability, financial or non-financial, is measured at fair value for recognition or disclosure purposes, the fair value is based on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date; and assumes that the transaction will take place either: in the principal market; or in the absence of a principal market, in the most advantageous market.

Fair value is measured using the assumptions that market participants would use when pricing the asset or liability, assuming they act in their economic best interests. For non-financial assets, the fair value measurement is based on its highest and best use. Valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, are used, maximising the use of relevant observable inputs and minimising the use of unobservable inputs.

Assets and liabilities measured at fair value are classified into three levels, using a fair value hierarchy that reflects the significance of the inputs used in making the measurements. Classifications are reviewed at each reporting date and transfers between levels are determined based on a reassessment of the lowest level of input that is significant to the fair value measurement.

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 2. Summary of significant accounting policies (continued)

For recurring and non-recurring fair value measurements, external valuers may be used when internal expertise is either not available or when the valuation is deemed to be significant. External valuers are selected based on market knowledge and reputation. Where there is a significant change in fair value of an asset or liability from one period to another, an analysis is undertaken, which includes a verification of the major inputs applied in the latest valuation and a comparison, where applicable, with external sources of data.

Unitholder's funds

Units within the Fund have been classified as equity as the units are redeemable on liquidation. The life of the trust is indefinite and the Trustee determines the level of distributions on a discretionary basis as the Unitholders are entitled to a pro rata share of the entity's net assets on termination.

Incremental costs directly attributable to the issue of new units or options are shown in equity as a deduction from the proceeds.

Goods and Services Tax ('GST') and other similar taxes

Revenues, expenses and assets are recognised net of the amount of associated GST, unless the GST incurred is not recoverable from the tax authority. In this case it is recognised as part of the cost of the acquisition of the asset or as part of the expense.

Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST recoverable from, or payable to, the tax authority is included in other receivables or other payables in the statement of financial position.

Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing activities which are recoverable from, or payable to the tax authority, are presented as operating cash flows.

Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the tax authority.

Comparatives

Comparatives are consistent with prior years, unless otherwise stated.

Rounding of amounts

Note 3. Critical accounting judgements, estimates and assumptions

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the reported amounts in the financial statements. Management continually evaluates its judgements and estimates in relation to assets, liabilities, contingent liabilities, revenue and expenses. Management bases its judgements, estimates and assumptions on historical experience and on other various factors, including expectations of future events, management believes to be reasonable under the circumstances. The resulting accounting judgements and estimates will seldom equal the related actual results. The judgements, estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities (refer to the respective notes) within the next financial year are discussed below.

Allowance for expected credit losses

The allowance for expected credit losses assessment requires a degree of estimation and judgement. It is based on the lifetime expected credit loss, grouped based on days overdue, and makes assumptions to allocate an overall expected credit loss rate for each group. These assumptions include recent sales experience and historical collection rates.

Fair value measurement hierarchy

The Fund is required to classify all assets and liabilities, measured at fair value, using a three level hierarchy, based on the lowest level of input that is significant to the entire fair value measurement, being: Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date; Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly; and Level 3: Unobservable inputs for the asset or liability. Considerable judgement is required to determine what is significant to fair value and therefore which category the asset or liability is placed in can be subjective.

The fair value of assets and liabilities classified as level 3 is determined by the use of valuation models. These include discounted cash flow analysis or the use of observable inputs that require significant adjustments based on unobservable inputs.

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 4. Other income

Dividends from REIT investments Note 5. Auditor's remuneration Auditor's Remuneration Note 6. Current assets - cash and cash equivalents Cash at bank Cash on deposit	Consolidated 2021 2020 $'000 $'000 57 19	Consolidated 2021 2020 $'000 $'000 57 19
	Consolidated 2021 2020 $'000 $'000 40 51
	Consolidated 2021 2020 $'000 $'000 4,011 9,114 2,552 61
	6,563	9,175

Note 5. Auditor's remuneration

Note 6. Current assets - cash and cash equivalents

Note 7. Current assets - trade and other receivables

Trade receivables Less: Allowance for expected credit losses Other receivables Goods and services tax receivable	Consolidated 2021 2020 $'000 $'000 1,034 2,295 (47) (881)	Consolidated 2021 2020 $'000 $'000 1,034 2,295 (47) (881)
	987	1,414
	3,184 340	792 142
	3,524	934

	4,511	2,348

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 7. Current assets - trade and other receivables (continued)

Allowance for expected credit losses

The ageing of the receivables and allowance for expected credit losses provided for above are as follows:

Expected credit loss rate 2021 2020 Consolidated % % Not overdue 45% 6% 0 to 3 months overdue 36% 17% 3 to 6 months overdue 14% 24% Over 6 months overdue 5% 37%	Carrying amount 2021 2020 $'000 $'000 3,574 761 361 289 153 205 470 1,974	Carrying amount 2021 2020 $'000 $'000 3,574 761 361 289 153 205 470 1,974	Allowance for expected credit losses 2021 2020 $'000 $'000 - 48 - 48 21 48 26 737	Allowance for expected credit losses 2021 2020 $'000 $'000 - 48 - 48 21 48 26 737
	4,558	3,229	47	881

Note 8. Current assets - financial assets at fair value through profit or loss

	Consolidated	Consolidated
	2021	2020
	$'000	$'000
REIT Investments		864	722

Refer to note 21 for further information on fair value measurement.

Note 9. Current assets - Other current assets

Accrued Income Prepayments Provision for doubtful debts - Covid deferred income	Consolidated 2021 2020 $'000 $'000 639 310 1,589 548 (129) -	Consolidated 2021 2020 $'000 $'000 639 310 1,589 548 (129) -
	2,099	858

The provision for doubtful debts is in respect of deferred rent relief provided to tenants as a consequence of the Covid-19 pandemic.

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 10. Non-current assets - Investment properties

Ballina Central Shopping Centre, Ballina NSW Yeronga Village Shopping Centre, Yeronga QLD Broadway Plaza, Punchbowl NSW Mowbray Market Place, Mowbray TAS Springfield Fair, Springfield QLD The Hub Westlake, Westlake QLD Windaroo Village, Windaroo QLD Coomera Square, Coomera QLD Night Owl Convenience Centre, North Lakes QLD Keppel Bay Plaza, Yeppoon QLD Gunnedah Shopping Centre, Gunnedah NSW Rutherford Shopping Centre, Rutherford NSW Tanilba Bay Shopping Centre, Tanilba Bay NSW Reconciliation Reconciliation of the fair values at the beginning and end of the current and previous financial year are set out below: Opening fair value Capital expenditure Acquisitions Revaluation increase Impairment of assets Closing fair value	Consolidated 2021 2020 $'000 $'000 44,737 47,500 22,585 20,800 52,514 53,500 44,145 44,300 35,930 33,100 10,550 10,000 7,180 9,500 73,519 66,350 8,003 - 28,606 - 15,312 14,015 21,207 19,185 19,999 18,910	Consolidated 2021 2020 $'000 $'000 44,737 47,500 22,585 20,800 52,514 53,500 44,145 44,300 35,930 33,100 10,550 10,000 7,180 9,500 73,519 66,350 8,003 - 28,606 - 15,312 14,015 21,207 19,185 19,999 18,910
	384,287	337,160
	337,160 19,077 31,258 1,553 (4,761)	320,350 13,696 - 4,476 (1,362)
	384,287	337,160

On the 5th of June 2021, the investment property Windaroo Village, Windaroo QLD was subject to a fire resulting in the damage to a number of tenancies. As a result, the property has been impaired to $7,180,000 which reflects the "as is" value of the property at 30 June 2021. A receivable of $2,620,000 has been recorded in other current assets reflecting the insurance proceeds confirmed to repair the property.

Lessor commitments

Minimum lease commitments receivable but not recognised in the financial statements: 1 year or less Between 1 and 2 years Between 2 and 3 years 3 year or more	Consolidated 2021 2020 $'000 $'000 28,787 26,174 26,203 22,291 23,124 20,760 97,617 93,393	Consolidated 2021 2020 $'000 $'000 28,787 26,174 26,203 22,291 23,124 20,760 97,617 93,393
	175,731	162,618

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 11. Non-current assets - intangibles

Goodwill	Consolidated 2021 2020 $'000 $'000 3,808 -

Refer to Note 24. Business combinations

Note 12. Non-current assets - Other non-current assets

Other non-current assets relates to the straight-lining and smoothing adjustments for rent from investment properties.

Other non-current assets Note 13. Current liabilities - Trade and other payables Trade payables Accrued expenses Fees payable to related parties Revenue received in advance Bonds held Distributions payable	Consolidated 2021 2020 $'000 $'000 2,173 1,510	Consolidated 2021 2020 $'000 $'000 2,173 1,510
	Consolidated 2021 2020 $'000 $'000 711 2,005 4,777 2,856 5,574 1,463 993 705 114 114 2,302 1,798
	14,471	8,941

Note 13. Current liabilities - Trade and other payables

Refer to note 20 for further information on financial instruments.

Note 14. Current liabilities - Interest bearing loans and borrowings

The Fund has a senior debt Facility with Commonwealth Bank of Australia. The Facility is due to expire 7th of June 2022.

On the 4th of March 2021, the Fund entered into an additional debt facility with the Commonwealth Bank of Australia with a principal of $35.8m. This facility has a termination date of 7th of June 2022 and as at 30 June 2021, $6.0m had been drawn.

Loan Facility Drawn Less Attributable transaction costs	Consolidated 2021 2020 $'000 $'000 172,199 - (442) -	Consolidated 2021 2020 $'000 $'000 172,199 - (442) -
	171,757	-

Refer to note 20 for further information on financial instruments.

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 15. Non-current liabilities - Other payables

Fees payable to related parties Bonds held	Consolidated 2021 2020 $'000 $'000 - 3,024 62 68	Consolidated 2021 2020 $'000 $'000 - 3,024 62 68
	62	3,092

Note 16. Non-current liabilities - Interest bearing loans and borrowings

The Fund has a senior debt Facility with Commonwealth Bank of Australia. The Facility is due to expire 7th of June 2022.

Bank loans Less: Attributable transaction costs	Consolidated 2021 2020 $'000 $'000 - 147,950 - (588)	Consolidated 2021 2020 $'000 $'000 - 147,950 - (588)
	-	147,362

Refer to note 20 for further information on financial instruments.

Total secured liabilities

The total secured liabilities (current and non-current) are as follows:

Bank loans Less: Attributable transaction costs	Consolidated 2021 2020 $'000 $'000 172,199 147,950 (442) (588)	Consolidated 2021 2020 $'000 $'000 172,199 147,950 (442) (588)
	171,757	147,362

Note 17. Unitholder's Funds - issued units

Ordinary units - fully paid	2021 Units 215,833,655	Consolidated 2020 2021 Units $'000 189,534,458 214,424	2020 $'000 188,766

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 17. Unitholder's Funds - issued units (continued)

Movements in Ordinary Equity

Details Date Balance 30-Jun-20 Ordinary Units - Tranche 54 01-Jul-20 Ordinary Units - Tranche 55 12-Aug-20 Ordinary Units - Tranche 56 14-Sep-20 Ordinary Units - Tranche 57 01-Oct-20 Ordinary Units - Tranche 58 02-Oct-20 Ordinary Units - Tranche 59 12-Oct-20 Ordinary Units - Tranche 60 13-Oct-20 Ordinary Units - Tranche 61 20-Oct-20 Ordinary Units - Tranche 62 26-Oct-20 Ordinary Units - Tranche 63 18-Nov-20 Ordinary Units - Tranche 64 07-Dec-20 Ordinary Units - Tranche 65 08-Dec-20 Ordinary Units - Tranche 66 14-Dec-20 Ordinary Units - Tranche 67 17-Dec-20 Ordinary Units - Tranche 68 22-Dec-20 Ordinary Units - Tranche 69 01-Jan-21 Ordinary Units - Tranche 70 06-Jan-21 Ordinary Units - Tranche 71 19-Jan-21 Ordinary Units - Tranche 72 05-Feb-21 Ordinary Units - Tranche 73 09-Feb-21 Ordinary Units - Tranche 74 26-Feb-21 Ordinary Units - Tranche 75 04-Mar-21 Ordinary Units - Tranche 76 11-Mar-21 Ordinary Units - Tranche 77 12-Mar-21 Ordinary Units - Tranche 78 18-Mar-21 Ordinary Units - Tranche 79 25-Mar-21 Ordinary Units - Tranche 80 01-Apr-21 Ordinary Units - Tranche 81 09-Apr-21 Ordinary Units - Tranche 82 21-Apr-21 Ordinary Units - Tranche 83 30-Apr-21 Ordinary Units - Tranche 84 08-Jun-21	Total Units 189,534,458 143,057 5,094 (21,310) 159,325 987,459 987,459 1,903,367 987,459 (740,594) 1,487,063 496,623 496,623 1,986,492 (485,013) 248,311 147,172 2,156,651 (2,022,288) 296,531 1,210,833 (795,000) 54,338 493,632 1,193,940 987,264 394,906 1,151,433 196,663 894,845 (291,008) 11,587,871	Subscription $'000 191,491 145 5 (22) 161 1,000 1,000 1,928 1,000 (750) 1,500 500 500 2,000 (488) 250 150 2,200 (2,063) 300 1,225 (804) 55 500 1,209 1,000 400 1,171 200 910 (296) 11,765	Issue Cost $'000 (2,725) (1) - (86) - (25) (25) (8) (25) - (42) (11) (11) (61) - (5) - (56) (5) (5) (47) (1) - (2) (4) (24) (8) (26) - - (11) (504)	Total $'000 188,766 144 5 (108) 161 975 975 1,920 975 (750) 1,458 489 489 1,939 (488) 245 150 2,144 (2,068) 295 1,178 (805) 55 498 1,205 976 392 1,145 200 910 (307) 11,261
	215,833,656	218,142	(3,718)	214,424

Note 18. Unitholder's Funds - undistributed profits

Undistributed profits at the beginning of the financial year Adjustment for business combinations Undistributed profits at the beginning of the financial year - restated Profit for the year Dividends paid (note 19) Undistributed profits at the end of the financial year	Consolidated 2021 2020 $'000 $'000 3,612 5,580 1,888 -	Consolidated 2021 2020 $'000 $'000 3,612 5,580 1,888 -
	5,500 8,680 (10,589)	5,580 8,505 (10,473)
	3,591	3,612

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 19. Unitholder's Funds - distributions

Quarter Ended Distribution per unit Ordinary Units 30-Sep-20 0.0152 31-Dec-20 0.0142 31-Mar-21 0.0128 30-Jun-21 0.1121	FY20 $'000 2,758 2,823 2,589 2,419
	10,589

Note 20. Financial instruments

Financial risk and capital management

The Fund's activities expose it to a variety of financial risks: interest rate risk, credit risk and liquidity risk. The Fund's overall risk management program focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on the financial performance of the Fund.

Interest rate risk

The Fund's main interest rate risk arises from long-term borrowings. Borrowings obtained at variable rates expose the Fund to interest rate risk. Borrowings obtained at fixed rates expose the Fund to fair value interest rate risk. The policy is to maintain approximately 50% of current borrowings at fixed rates using interest rate swaps to achieve this when necessary.

The bank loans outstanding totalling $172,199,000 (2020: $147,950,000) are interest payment loans. An official increase/decrease in interest rates of 100 basis points (2020: 100 basis points) would have an (adverse)/favourable effect on profit before tax of ($1,269,000) / $1,269,000 (2020: ($729,500) / $729,500) per annum.

Credit risk

Credit risk is the risk that a customer or counterparty to a financial instrument will default on their contractual obligations resulting in a financial loss to the consolidated entity.

The consolidated entity has no significant concentrations of credit risk and has policies to review the aggregate exposure of tenancies across its portfolio. The consolidated entity also has policies to ensure that leases are made to customers with an appropriate credit history.

As at 30 June 2021, for the Fund, the ageing analysis of total trade receivables is as follows:

Not past due 0-30 days past due 31-60 days past due 61-90 days past due +91 days past due	Trade Receivables $ 389,902 250,269 110,536 117,798 165,373	Impairment $ - - - - (46,757)	Net Receivables $ 389,902 250,269 110,536 117,798 118,616
	1,033,878	(46,757)	987,121

Liquidity risk

Vigilant liquidity risk management requires the Fund to maintain sufficient liquid assets (mainly cash and cash equivalents) and available borrowing facilities to be able to pay debts as and when they become due and payable.

The Fund manages liquidity risk by maintaining adequate cash reserves and available borrowing facilities by continuously monitoring actual and forecast cash flows and matching the maturity profiles of financial assets and liabilities.

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 20. Financial instruments (continued)

Financial liabilities due for payment: 2021 Trade & Other Payables Distribution Payable Loan Facility	Within 1 Year $'000 12,170 2,302 172,199	1-5 Years $'000 62 - -	Over 5 Years $'000 - - -	Total $ 12,232 2,302 172,199
	186,671	62	-	186,733

Capital Management

The Fund's objective when managing capital is to safeguard the ability to continue as a going concern, whilst providing returns for Unitholders and benefits for other stakeholders and to maintain a capital structure to minimise the cost of capital.

The Responsible Entity can alter the capital structure of the consolidated entity by adjusting the amount of distributions paid to Unitholders and adjusting the timing of development and capital expenditure.

In this context, the consolidated entity considers capital to include interest-bearing loans and borrowings and Unitholders' funds.

Fair Value of financial assets and financial liabilities

The carrying amounts of cash and cash equivalents, trade and other receivables, and trade and other payables as disclosed in the Statement of Financial Position reflect the fair value of these financial assets and liabilities as at 30 June 2021.

Note 21. Fair value measurement

Fair value hierarchy

The following tables detail the Fund's assets and liabilities, measured or disclosed at fair value, using a three level hierarchy, based on the lowest level of input that is significant to the entire fair value measurement, being:

Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date

Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly

Level 3: Unobservable inputs for the asset or liability

Consolidated - 2021 Assets Investment properties REIT Investments Total assets	Level 1 $'000 - 864	Level 2 $'000 384,287 -	Level 3 $'000 - -	Total $'000 384,287 864
	864	384,287	-	385,151

There were no transfers between levels during the financial year.

Valuation techniques for fair value measurements categorised within level 2 and level 3

Direct property assets are valued in accordance with Fund Property Valuation Policy.

This Policy requires that all direct property assets be valued at Fair Value at each balance date. Fair Value is determined at least once every two years by an appropriately qualified independent valuer.

In the intervening periods Fair Value is determined by Trustee, acting in good faith, after considering all relevant market-based information and circumstances.

Where the Trustee believes that there have been significant changes in the value of the direct property assets, an appropriately qualified independent valuer will be engaged at each reporting period in consultation with the scheme auditor to value the direct property assets in accordance with ordinary commercial practice and AIFRS.

The balance of the Fund's properties were valued by the Trustee using best practice market methodologies including discounted cash flow, capitalisation and comparison methodologies.

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 22. Related parties

RAM Property Funds Management Limited ("RAM") is the responsible entity of the Fund.

Real Asset Management Pty Limited The Investment Management Fees are calculated at 0.65%p.a. of the gross assets of the Fund. The Administration Fees are calculated at 0.50% of the aggregate income distributions payable to unitholders Registry Fees RAM Property Funds Management Limited The Responsible Entity Fee is calculated at 0.075%p.a. of the gross assets of the Fund RAM Australia Property Services Pty Limited Asset Management Fees are calculated at 0.35%p.a. of the gross assets of the Fund. Performance Fees are calculated at 35% payable on all returns in excess of a 8% hurdle rate in each three year period. Trust Accounting Services Property Accounting Services Finance Facilitation Fees Development Management Fees Leasing Fees Amounts payable to related parties The following balances are outstanding at the reporting date in relation to fees payable to related parties: RAM Australia Property Services Pty Ltd RAM Property Funds Management Limited Real Asset Management Pty Limited	2021 Consolidated $'000 2,555 338 50	2020 Consolidated $'000 2,225 205 50
	2,943	2,480
	270	255
	1,503 1,904 52 236 85 25 184	1,198 4,408 11 47 - - -
	3,989	5,664
	2020 Consolidated $'000 5,453 26 95	2019 Consolidated $'000 105 12 181
	5,574	298

Note 23. Parent entity information

Set out below is the supplementary information about the parent entity.

Statement of profit or loss and other comprehensive income

Profit Total comprehensive income	Parent 2021 2020 $'000 $'000 10,720 10,202	Parent 2021 2020 $'000 $'000 10,720 10,202
	10,720	10,202

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 23. Parent entity information (continued)

Statement of financial position

Total current assets Total assets Total current liabilities Total liabilities Unitholder's Funds Issued units Accumulated losses Total unitholder's funds	Parent 2021 2020 $'000 $'000 5,422 9,910	Parent 2021 2020 $'000 $'000 5,422 9,910
	216,559	192,299
	2,182	715
	2,182	3,712
	214,424 (47)	188,766 (179)
	214,377	188,587

Contingent liabilities

The parent entity had no contingent liabilities as at 30 June 2021.

Note 24. Business combinations

North Lakes No. 1 Trust

On 7 May 2021, the Fund acquired 100% of the ordinary units of North Lakes No. 1 Trust for the total consideration transferred of $3,980,000. The Trust is the owner of the Night Owl Convenience Shopping Centre in Queensland. Goodwill of $927,000 represents consideration paid in addition of the Trust's net asset value. The acquired business contributed profit of $146,000 to the Fund for the period from acquisition to year end. If the acquisition occurred on 1 July 2020, a full year loss of $667,000 would have been attributed to the Fund.

Details of the acquisition are as follows:

Cash and cash equivalents Trade receivables Prepayments Land and buildings Other intangible assets Security deposits Trade payables Accrued expenses Deferred revenue Bank loans Other liabilities Net assets acquired Goodwill Acquisition-date fair value of the total consideration transferred	Fair value $'000 51 7 11 7,445 193 (27) (17) (43) (40) (4,204) (323)
	3,053 927
	3,980

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 24. Business combinations (continued)

Keppel Bay Plaza Trust

On 8 June 2021, the Fund acquired 100% of the ordinary units of Keppel Bay Plaza Trust for the total consideration transferred of $16,575,165. The Trust is the owner of the Keppel Bay Plaza shopping centre in Queensland. Goodwill of $2,881,000 represents consideration paid in addition of the Trust's net asset value. The acquired business contributed profit of $41,000 to the Fund for the period from acquisition to year end. If the acquisition occurred on 1 July 2020, a full year loss of $1,055,000 would have been attributed to the Fund.

Details of the acquisition are as follows:

Cash and cash equivalents Other receivables Prepayments Land and buildings Other intangible assets Accrued expenses Deferred revenue Bank loans Other liabilities Net assets acquired Goodwill Acquisition-date fair value of the total consideration transferred	Fair value $'000 1,171 39 51 27,045 129 (297) (21) (14,385) (38)
	13,694 2,881
	16,575

Note 25. Controlled entities

The following entities were controlled by the parent entity during the financial year:

	Ownership	interest
	2021	2020
Name	%	%
RAM Australia Retail Property No. 1 Trust	100.00%	100.00%
RAM Australia Retail Property No. 2 Trust	100.00%	100.00%
RAM Australia Retail Property No. 3 Trust	100.00%	100.00%
RAM Australia Retail Property No. 4 Trust	100.00%	100.00%
RAM Australia Retail Property No. 5 Trust	100.00%	100.00%
RAM Australia Retail Property No. 6 Trust	100.00%	100.00%
RAM Australia Retail Property No. 7 Trust	100.00%	100.00%
RAM Australia Retail Property No. 8 Trust	100.00%	100.00%
RAM Australia Retail Property No. 9 Trust	100.00%	100.00%
RAM Australia Keppel Bay Plaza Trust	100.00%	-
The North Lakes Centre No. 1 Trust	100.00%	-

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 26. Events after the reporting period

On the 3rd of September 2021, the Fund acquired 50% of the shares in RAM Essential Services FinCo Pty Ltd.

Note 27. Reconciliation of profit to net cash from operating activities

Profit for the year Adjustments for: Depreciation and amortisation Net fair value loss/(gain) on investments Net gain on revaluation of investment property Other non cash items Change in operating assets and liabilities: Increase in trade and other receivables Increase in other assets Increase in trade and other payables Increase in other liabilities Net cash from operating activities	Consolidated 2021 2020 $'000 $'000 8,680 8,505 2,140 1,345 (131) 270 (1,553) (4,476) - 758 (3,405) (1,460) (663) (189) 3,664 2,799 (1,481) 2,984	Consolidated 2021 2020 $'000 $'000 8,680 8,505 2,140 1,345 (131) 270 (1,553) (4,476) - 758 (3,405) (1,460) (663) (189) 3,664 2,799 (1,481) 2,984
	7,251	10,536

Significant Non-Cash Financing and Investing Activities

The Fund partly acquired its current year investments in Keppel Bay and North Lakes through the issuance of $11,765,165 of units.

RAM Australia Retail Property Fund Directors' declaration 30 June 2021

In the directors' opinion:

the Fund is not a reporting entity because there are no users dependent on general purpose financial statements. Accordingly, as described in note 2 to the financial statements, the attached special purpose financial statements have been prepared for the purposes of complying with the Corporations Act 2001 requirements to prepare and distribute financial statements to the owners of RAM Australia Retail Property Fund;
the attached financial statements and notes comply with the Corporations Act 2001, the Accounting Standards as described in note 2 to the financial statements, the Corporations Regulations 2001 and other mandatory professional reporting requirements;
the attached financial statements and notes give a true and fair view of the Fund's financial position as at 30 June 2021 and of its performance for the financial year ended on that date; and
there are reasonable grounds to believe that the trust will be able to pay its debts as and when they become due and payable.

Signed in accordance with a resolution of directors made pursuant to section 295(5)(a) of the Corporations Act 2001.

On behalf of the directors

==> picture [21 x 24] intentionally omitted <==

_____ ____ Suzanne Hutchinson Director

__ _____ __ Scott K elly Director

12 October 2021

��

�� Corporations Act 2001, ��

��
�� Corporations Regulations 2001.

��

�� Corporations Act 2001 ��

��

PKF(NS) Audit & Assurance Limited Sydney Newcastle Partnership Level 8, 1 O’Connell Street 755 Hunter Street ABN 91 850 861 839 Sydney NSW 2000 Australia Newcastle West NSW 2302 Australia GPO Box 5446 Sydney NSW 2001 PO Box 2368 Dangar NSW 2309 Liability limited by a scheme approved under Professional p +61 2 8346 6000 p +61 2 4962 2688 Standards Legislation f +61 2 8346 6099 f +61 2 4962 3245

��

��
��
��
��
��

��

==> picture [75 x 47] intentionally omitted <==

��

==> picture [133 x 43] intentionally omitted <==

��

��

��

��

��

AI assistant

RAM ESSENTIAL SERVICES PROPERTY FUND — Annual Report 2021

65685_rns_2021-10-18_eac711eb-276f-4ba7-a292-37a44b748e9c.pdf

RAM Australia Retail Property Fund ARSN 634 136 682

RAM Australia Retail Property Fund Directors' report 30 June 2021

Directors

Scott Wehl

Chairman

Scott Kelly

Steven Pritchard

Suzanne Hutchinson

RAM Australia Retail Property Fund Directors' report 30 June 2021

Principal activity

Impact of COVID-19

Property portfolio

Acquisitions

Disposals

Review of operations

RAM Australia Retail Property Fund Directors' report 30 June 2021

Contributed Equity

Matters subsequent to the end of the financial year

Likely developments and expected results of operations

Environmental regulation

Related parties

Trustee Entity's remuneration

Asset management fees

Directors' interests

Indemnity and insurance of officers

Indemnification

RAM Australia Retail Property Fund Directors' report 30 June 2021

Indemnity and insurance of auditor

Proceedings on behalf of the trust

Rounding of amounts

Auditor's independence declaration

���

RAM Australia Retail Property Fund Statement of profit or loss and other comprehensive income For the year ended 30 June 2021

RAM Australia Retail Property Fund Statement of financial position As at 30 June 2021

RAM Australia Retail Property Fund Statement of changes in equity For the year ended 30 June 2021

RAM Australia Retail Property Fund Statement of cash flows For the year ended 30 June 2021

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 1. General information

Registered office

Principal place of business

Note 2. Summary of significant accounting policies

Basis of preparation

Historical cost convention

Critical accounting estimates

Parent entity information

Principles of consolidation

Revenue recognition

Rent from investment properties

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 2. Summary of significant accounting policies (continued)

Interest Income

Income tax

Cash and cash equivalents

Trade and other receivables

Investments and other financial assets

Financial assets at fair value through profit or loss

Impairment of financial assets

Investment properties

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 2. Summary of significant accounting policies (continued)

Excess of Current Liabilities over Current Assets

Intangible assets

Goodwill

Impairment of non-financial assets

Trade and other payables

Borrowings

Finance costs

Fair value measurement

RAM Australia Retail Property Fund Notes to the financial statements 30 June 2021

Note 2. Summary of significant accounting policies (continued)

Unitholder's funds

Goods and Services Tax ('GST') and other similar taxes

Comparatives

Rounding of amounts

Note 3. Critical accounting judgements, estimates and assumptions

Allowance for expected credit losses

Fair value measurement hierarchy

RAM ESSENTIAL SERVICES PROPERTY FUND Annual Report 2021

��

��

��

��

��

��

��

��

��