STOCKLAND — Annual Report 2021

Aug 19, 2021

FY21 Annexure

20 August 2021

Newport, QLD 1

Contents

About Stockland

Financial results and capital management

Commercial Property

Communities

Figures are rounded to nearest million, unless otherwise stated. Percentages are calculated based on the figures rounded to one decimal place. Percentage changes are calculated on the prior corresponding period unless otherwise stated.

Stockland quick facts

Trust – $9.9bn1

Corporation – $4.4bn2,3

	Target	Commercial Property	Residential	Retirement Living	Land Lease	Unallocated corporate overheads	Total
Recurring FFO	70 –80%	59%	-%	7%	-%	(5)%	61%
Trading FFO	20 –30%	-%	43%	-%	-%	(4)%	39%

1. Excludes WIP and sundry properties of $0.4bn.

2. Includes Residential book value of $3.2bn and Retirement Living book value of $1.1bn.

3. Includes one retail asset of $0.1bn which is held by the Corporation.

4. Includes WIP and sundry properties of $0.4bn.

We are well positioned with a diverse portfolio

1. Includes WIP & sundry properties of $0.4bn.

2. RL established and development assets at same location are treated as a single property/project.

Note – Percentages may not add due to rounding.

About Stockland Financial results and capital management

Commercial Property

4

Financial results and capital management

Annexure

Profit summary

$m	FY21	FY20	Change
Residential Communities EBIT (before interest in COGS)	420	500	(16.0)%
Commercial Property EBIT	545	523	4.4%
Retirement Living EBIT	59	65	(10.4)%
Land lease EBIT	-	-	-%
Consolidated segment EBIT	1,024	1,088	(5.9)%
Amortisation of lease fees	13	14	(9.2)%
Unallocated corporate overheads	(69)	(56)	23.7%
Group EBIT (before interest in COGS)	968	1,046	(7.5)%
Net interest expense:
-Interest income	4	2	88.9%
-Interest expense	(199)	(209)	(4.7)%
-Interest capitalised to inventory	99	114	(13.2)%
-Interest capitalised to investment properties under development	10	7	38.7%
Net interest in Profit & Loss before capitalised interest expensed	(86)	(86)	0.8%
Capitalised interest expensed in Profit & Loss1	(94)	(135)	(31.0)%
Net interest expense	(180)	(221)	(18.6)%
Funds from operations	788	825	(4.6)%
Statutory profit adjustments	317	(846)	137,4%
Statutory profit	1,105	(21)	5,515.2%

1. Higher capitalised interest expensed in Profit & Loss in the prior period is driven by the capital partnering transaction at Aura (QLD).

Communities

Commercial Property

Net interest gap & cost management

$m		FY21			FY20
	Interest	Deferredinterest1,2	Total	Interest	Deferredinterest1,2	Total
Interest income	(4)	-	(4)	(2)	-	(2)
Interest expense	161	38	199	176	33	209
Less: capitalised interest
-Commercial Propertydevelopment projects	(13)	-	(13)	(8)	(1)	(9)
-Residential	(56)	(38)	(94)	(78)	(32)	(110)
-Retirement Living	(2)	-	(2)	(2)	-	(2)
Total capitalised interest	(71)	(38)	(109)	(88)	(33)	(121)
Sub-total: Borrowing cost in P&L	86	-	86	86	-	86
Add: capitalised interest expensed inP&L3	94	-	94	135	-	135
Total interest expense in P&L	180	-	180	221	-	221

$m	FY21	FY20
Residential	187	193
RetirementLiving	40	38
Land Lease	2	-
CommercialProperty	29	20
Unallocated corporate overheads	69	56
Total sales, general and administration costs4	327	307

Increased overheads due to increased insurance premiums, investment in technology, and controlled cost increases to drive growth

1. Non-cash adjustments for unwinding of present value discount on land acquisitions on deferred terms.

2. Discount initially booked through balance sheet (inventory and land creditors).

3. Made up of Residential $89m (FY20: $128m) and Retirement Living $5m (FY20: $7m). This differs to statutory reporting by $4m (FY20: $6m) as interest expense in Retirement Living is reported through fair value adjustment of investment properties. Higher capitalised interest in COGS in prior period was driven by capital partnering transaction at Aura (QLD).

4. Net of recoveries, costs capitalised to development projects and property management fee income.

7

Return on assets, return on equity

Key metrics		FY21			FY20
	Cashprofit($m)	Avg. cashinvested ($bn)	Return	Cashprofit ($m)	Avg. cashinvested ($bn)	Return
Retail Town Centres	345	5.3	6.5	331	5.4	6.2
Logistics	154	2.3	6.7	155	2.2	7.1
Workplace	58	0.9	6.5	53	0.7	7.6
core1Residential –	411	1.9	21.5	484	2.1	22.9
Retirement Living	61	1.1	5.4	67	1.3	5.1
Corebusiness ROA (sub-total)	1,029	11.5	8.9	1,090	11.7	9.3
workout2Residential –	(25)	0.1	(19.1)	(6)	0.1	(4.4)
Unallocated overheads & other income	(69)	-	-	(56)	-	-
Group ROA	935	11.6	8.0	1,028	11.8	8.7
Net interest/net debt	(151)	(3.7)	4.1	(167)	(4.2)	4.0
Group ROE	784	7.9	9.9	861	7.6	11.2
Group ROE (excl. workout)	809	7.8	10.3	867	7.5	11.5

1. Higher cash profit in prior period driven by disposal of core projects. 2. Includes all impaired projects.

8

Cost of debt and hedge profile & long dated, diverse debt

1. Represents average debt balance over FY21. Balances as at 30 June 2021 were hedged debt: $3,356m and floating debt: $1,060m.

2. Average % for FY21.

3. Refers to fixed rate debt and fixed rate hedges, excluding fees and margins.

4. Face value as at 30 June 2021. Excludes bank guarantees of $401m.

Stockland Corporation income tax reconciliation

	FY21	FY20
Net profit before tax	1,078	24
Less: Trust profit and Intergroup eliminations	(988)	70
Corporation profit/(loss) before tax	B90	94
Prima facie tax expense @ 30%	(27)	(28)
Tax effect of permanent differences:
Non-deductible expenses for the period	-	(12)
Other deductible expenses for the current period	4	-
Over recognised DTL in prior years	50	(4)
Other assessable income for the year	-	(1)
Tax benefit/(expense)	A27	(45)
1Effective tax rate (A/B)	(30)%	48%
Effective tax rate (excluding benefit from tax losses recognised)	(30)%	48%

1. The effective tax rate in the current period is driven by the recognition of previously unrecognised deferred tax relating to the increase in cost base of three recently developed retirement living villages. Ignoring this non-recurring item, the effective tax rate for the current period is 33%. The effective tax rate in FY20 is higher than the corporate rate of 30% primarily due to the impairment of goodwill. Ignoring this, the effective tax rate for the prior period was 34%.

Communities

Commercial Property

Funds from operations

	Retail TownCentres		Logistics		Workplace			Net overheadcosts		Total
$m	FY21	FY20	FY21	FY20	FY21	FY20	FY21	FY20	FY21	FY20
Operating EBIT	307	285	134	140	52	46	(29)	(20)	464	451
Adjust for:
Amortisation of fitout incentives andlease fees	55	59	20	7	6	3	-	-	81	69
Amortisation ofrent-free incentives	-	-	7	14	3	6	-	-	10	20
Straight-line rent	1	(1)	3	(1)	(1)	(1)	-	-	3	(3)
Funds fromoperations	363	343	164	160	60	54	(29)	(20)	558	537

Retail Town Centres

Diversified rental income and FFO movement

Diversified rental income, non-discretionary focus1 - Low reliance on DDS and department store income

FFO movement driven by asset disposals and COVID-19 impact

Retail Town Centres

Strong sales performance

To 30 June 2021		Total portfolio1			Comparable centres2
Retail sales by category	MAT $m	MATgrowth	MAT growth preCOVID-19(Feb 20)	MAT growth preCOVID-19(Jun 19)	MATgrowth	MAT growth preCOVID-19(Feb 20)	MAT growth preCOVID-19(Jun 19)	2H21growth(2019)
Total	5,936	6.4%	3.1%	7.3%	6.2%	2.3%	4.7%	2.4%
Specialties	1,875	11.7%	2.3%	4.0%	11.1%	1.6%	3.0%	2.4%
Supermarkets	2,101	4.4%	7.0%	13.6%	3.9%	6.0%	8.8%	6.1%
DDS/DS	902	13.0%	13.9%	17.6%	13.7%	14.6%	18.2%	15.3%
Mini majors	799	20.1%	24.6%	30.1%	20.1%	23.0%	26.9%	26.5%

To 30 June 2021		Total portfolio1			Comparable centres2
Specialty sales by category	MAT$m	MATgrowth	MAT growth preCOVID-19(Feb 20)	MAT growth preCOVID-19(Jun 19)	MATgrowth	MAT growth preCOVID(Feb 20)	MAT growth preCOVID-19(Jun 19)	2H21growth(2019)
Apparel	467	19.9%	4.0%	4.2%	20.2%	4.4%	4.9%	5.9%
Food catering	336	7.8%	(4.6)%	(1.2)%	7.2%	(5.5)%	(2.3)%	0.9%
Homewares	74	17.2%	15.4%	22.5%	14.7%	12.9%	12.0%	8.4%
Retail services	280	22.1%	10.2%	14.5%	21.0%	8.8%	13.8%	16.5%

1. Sales data includes all Stockland managed retail assets, including joint venture assets.

2. Comparable basket of assets as per SCCA guidelines, which excludes assets which have been redeveloped within the past 24 months.

14

Commercial Property

Top 10 tenants by income

	Retail Town Centres		Logistics		Workplace
Rank	Tenant	Portfolio	Tenant	Portfolio	Tenant	Portfolio
1	Woolworths	9.5%	Optus Administration Pty Ltd	9.4%	Stockland Development Pty Ltd	17.7%
2	Wesfarmers	5.3%	Toll Transport Pty Limited	6.4%	IBM Australia Ltd	8.9%
3	Coles Supermarkets Australia Pty Ltd	4.5%	Linfox Pty Ltd	3.8%	Jacobs Group (Australia) Pty Ltd	8.9%
4	Mosaic Group	1.7%	QubeLogistics (SB) Pty Ltd	3.4%	The Uniting Church in AustraliaProperty	6.3%
5	Cotton On Clothing Pty Ltd	1.5%	New Aim Pty Ltd	2.9%	GHD Services Pty Limited	6.2%
6	Just Group	1.5%	AWH Pty Ltd	2.9%	University of Sydney	5.7%
7	Retail Apparel Group pty Ltd	1.3%	AustpacLogistics Pty Ltd	2.7%	Australian Bureau of Statistics	3.8%
8	JPL Group	1.3%	Daikin Australia Pty Ltd	2.6%	Boulay Pty Ltd	2.1%
9	The Reject Shop	1.3%	Downer EDI Services Pty Ltd	2.5%	Fleet Partners Pty Ltd	1.9%
10	API (Priceline)	1.3%	Kmart Australia Limited	2.3%	Energy and Water Ombudsman(NSW) Limited	1.9%
Total		29.2%1		39.1%1		63.3%1

Workplace

Performance

1. Includes executed leases and signed heads of agreement at 30 June 2021.

2. Based on book value.

3. Excludes WIP and sundry properties.

16

Logistics, Life Sciences & Technology

Performance

Logistics	GLA leased(sqm)1	Weighted averagebase rent growth%5	Weighted averageincentives6	Retention(sqm)1	Weighted averagebase rent growth%5	Weighted averageincentives6	New leases(sqm)1	Weighted averagebase rent growth%5	Weighted averageincentives6
Logistics excludingBusiness Parks	306,870	(0.2)	10.1	116,451	0.9	6.1	190,419	(1.1)	12.7
Business Parks	3,782	4.5	23.1	2,031	5.0	21.4	1,751	3.9	25.3

1. Includes executed leases and signed heads of agreement at 30 June 2021.

2. Excludes WIP and sundry properties.

3. Includes executed leases only and represents 100% property ownership.

4. Represents the percentage (by income) of total executed deals, which were expiring leases renewed by existing customers during

the period. Excludes new leases on vacant space.

1. Excludes leases at new developments.

2. Incentives based on net rent.

About Stockland Financial results and capital management

Commercial Property

Commercial Property

Acquisitions and disposals

Property disposed1	Asset class	Settlement date	Disposal value2 $m
North Shore (QLD)	Retail	Jul-20	16.7
Balcatta Distribution Centre (WA)	Logistics	Aug-20	59.0
Caloundra (QLD)	Retail	Dec-20	97.0
Baulkham Hills (NSW)	Retail	Dec-20	141.3
The Pines (VIC)	Retail	Jan-21	155.0
Traralgon (VIC)	Retail	Mar-21	84.5
Bundaberg (QLD)3	Retail	Sep-21	140.0

Property acquired1	Asset class	Settlement date	Acquisition value2 $m
Willawong 182 Bowhill Road –JV with FIFE Capital (QLD)	Logistics	Jul-20	41.5
122 Walker St, North Sydney (NSW)	Workplace	Jul-20	34.5
Leppington (NSW)	Logistics	Dec-20	42.0
Yatala -77 Darlington Drive (QLD)	Logistics	Jun-21	11.0
(VIC)4LeakesRoad, Truganina	Logistics	Sep-21	60.0
Cranbourne (VIC)4	Logistics	Oct-21 to Dec-21	48.0

1. Settled from 1 July 2020.

2. Excludes associated acquisition / disposal costs.

3. A put and call option has been entered into relating to the sale of Bundaberg with completion estimated to occur in September 2021.

4. Acquisition costs include estimated development expenditure associated with fund through agreement. Future settlement date is estimated.

Logistics, Life Sciences & Technology

Development pipeline

	Developmenttype	Est. totalincrementalcost ($m)	Est. end value($m)	Gross lettablearea (sqm)	Cost spent todate($m)	Est. cost tocomplete ($m)	Est. completiondate	Est. fully leasedyear one yield2	Est. return3
Completed1
Willawong Stage 2 (QLD)	Greenfield	~28	~41	25,400	~25	~3	FY21	7.7%	~9 -10%
Carole Park Stage 1 (QLD)	Greenfield	~35	~70	28,300	~35	~1	FY21	6.0%	~7 -8%
Under construction
Leppington Stage 1 (NSW)	Greenfield	~32	~164	21,400	~5	~27	FY22	5.2%	~7 -8%
M_Park Stg 1 Bldg A& B (NSW)	Brownfield	~292	~367	41,9004	~12	~280	FY23	5.7%	~8 -9%
Land trading projects under construction		Est. totalincrementalcost ($m)	Stockland est.share of grossrevenue ($m)	Net saleablearea (ha)	Cost spent todate($m)	Est. cost tocomplete ($m)	Est. completiondate	Number of lots	Operatingprofit
Gregory Hills (NSW)	Land trading	~23	~106	11	~21	~2	FY22	39	27.7%
(VIC)5Melbourne Business Park	Land trading	~77	~127	61	~16	~61	FY22	44	16.8%
Future pipeline6		~5,604				~5,477
Total		~6,091				~5,851

1. Indicative metrics on completion.

2. Stabilised incremental FFO yield, includes property management fees.

3. Forecast unlevered 10 year IRR on development from completion (incremental development for brownfield).

4. Represents Net Lettable Area (NLA).

5. Project development agreement partly owned.

6. Represents Stockland's ownership interest.

About Stockland Financial results and capital

management

Commercial Property

Workplace and Logistics, Life Sciences & Technology

Growing and activating the development pipeline

DA approvals received

• Gregory Hills (NSW) DA received
• M_Park (NSW) Stage 1 (Bldg A) DA approved December 2020
• M_Park (NSW) Stage 1 (Bldg B) DA approved May 2021

Note: Commencement of development works is subject to approvals and, where applicable, acquisition of land assets and incremental development from completion.

Retail Town Centres

Development pipeline focused on greenfield opportunities

	Est. totalincremental cost ($m)	Est. cost tocomplete ($m)
Future pipeline	416	406

Commercial Property

Average weighted cap rates over time

Retail Town Centres

Successful repositioning of underperforming retailers

Majors and mini majors Specialties

Sales productivity forecast to more than double, with 39% rental uplift

• Hervey Bay (QLD): replacing Target with warehouse discounter supermarket Fresh N Save
• Green Hills & Wetherill Park (NSW): Kmart replacement of Target
• Rockhampton & Townsville (QLD): H&M remixing introducing JD Sports, Universal, Cotton On, TK Maxx and Timezone
• Harris Scarfe remixing complete, with openings of Timezone, Cotton On, TK Maxx and Rebel Sport

Sales productivity forecast to achieve ~$40m incremental MAT uplift, with 3.9% rental uplift

• Category/sub-category change to stores introduction of on trend retailers including JD Sports, Platypus Shoes, Pivot, Adairs, Burger Urge, EB Games and Specsavers
• Continued reweighting of fashion mix towards more productive categories & brands
  • 5% reduction in women's fashion stores
  • 13% increase in jeaneries & unisex stores
  • 8% increase in homewares stores

Artist impression – Glendale, NSW, markets

Nightquarter, QLD

Community and entertainment

• The new Nightquarter entertainment complex at Birtinya (QLD) is exceeding forecast sales and elevating evening visitation to the main centre by 12.4% on event nights
• A conditional lease has been agreed to operate an initial 60 stall market offering fresh food and locally made goods, planned for opening at Glendale (NSW) in April 2022

Essential goods & services

Lettable area increased by 8% in 3 years

• Diversifying centre use with an additional 22,000 sqm of floorspace provision to non traditional usages e.g. child care, medical, automotive, food padsites, Dan Murphy's

Digital ecosystems

A digitally connected customer and place Product visualisation

Priority initiatives

Hyper local omni-channel

Capturing shoppers' online searching and conversion to Stockland's omni-channel retail offering

Tenant portal

Improving tenant service and customer experience, through streamlined touchpoint, consistency and communications delivery

Digital gift cards

Enhancing value exchange with shoppers, cultivating greater spend and better customer experience with digital offering

Intercepting shoppers' online searching

Product visualisation facilitates the listing of products on the Stockland website network by retailers Stockland can now intercept shoppers outside the centre or at home when searching for products online

An important step towards our hyper-local omni channel shopping experience

Retailer & customer engagement

Individual products on website (variable)

Unique product quantities based on realtime product availability, refreshed every 24 hours

Total product page views

Individual page views in 2H21, showing customer intercepted searches

No. of stores

150

Actively participating in pilot program

Data: cumulative data, covering period; 17 Dec 2020 to 30 June 2021 inclusive. Sourced from Stockland product portal and Google Analytics.

Communities

Retail Town Centres

Sector sales growth in first half of 2021 impacted by sales volatility from 2020

Employment growth historically strong3 Employment growth (annual % change)

1. ABS Retail Trade 8501.0. Monthly sales - y/y change.

2. Westpac - University of Melbourne Consumer Sentiment Survey June 2021.

Wage growth remains weak4

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

1. ABS 6202.0 - Labour Force, Australia, June 2021.

2. ABS 6345.0 - Wage Price Index, Australia, March 2021.

Commercial Property

Retail Town Centres

Sector online retail sales growth is starting to moderate

Annual retail turnover – Bricks & mortar vs. online Online retail growth

Annual online retail sales - % of total retail

Source: ABS 8501.0 - Retail Trade, Australia, May 2021; Stockland Strategy & Research.

26

Communities

Annexure

Residential

Operating profit margin

Key metrics	FY21	FY20	Change
Total lots settled	6,3741	5,319	19.8%
Total revenue	$1,843m	$1,871m	(1.5)%
-Includes superlot revenue	$151m	$368m	(59.0)%
Operating profit	$331m	$372m	(10.9)%
Operating profit margin	18.0%	19.9%
ROA –total portfolio	18.9%	21.1%
ROA –core portfolio	21.5%	22.9%

Operating profit margin

1. Includes 1,777 (FY20: 1,341) of settlements under joint ventures and project delivery agreements.

28 Communities

Residential

Lots settled by location and ownership

1. There were 1,777 lots settled under joint arrangements. The split between Stockland share and external share represents the varying levels of interest in those arrangements.

Development pipeline – major projects

				Approximate	Approximate
State	Project	State percentage1	Total project lots	settlements per	remaining project	FY21	FY22	FY23	FY24	FY25	FY26
				annum2	lots
	Aura3		20,000	760	16,590
	Providence		6,720	240	6,650
	North Shore		5,510	110	3,340
	Newport		1,890	200	650
	All Other Projects		8,750		7,150
QLD	Sub-total	46%	42,870		34,380
	Highlands		11,690	540	3,140
	Cloverton		11,530	490	9,820
	Mt Atkinson3		4,400	410	3,440
	Eucalypt		1,740		440
	Grandview3		1,720	220	1,380
	Minta		1,620	220	1,120
	Katalia3		1,540	210	1,540
	All Other Projects		4,350		3,260
VIC	Sub-total	32%	38,590		24,140
	Sienna Wood3		3,800	150	2,760
	Vale		3,420	160	290
	Amberton3		2,580	170	1,330
	Whiteman Edge		2,400	100	300
	Calleya		1,840		8080
	All Other Projects		6,340		6,340
WA	Sub-total	15%	20,380		11,100
	Elara		4,670	310	980
	Willowdale		3,720	110	370
	The Gables		2,120	310	2,040
	Altrove		1,310		10860
	All Other Projects		1,520		1,490
NSW	Sub-total		8%13,340		5,740
		100%4	115,180		75,360

1. State percentage is calculated as the share of remaining project lots.

2. Average number of lots estimated for three years for FY22 - FY24, numbers are annualised and vary depending on timing and completion of projects.

3. Projects under joint ventures or project delivery agreements.

4. Total may not add due to rounding.

Composition of residential landbank1

Sales price1

Residential Communities

FY21 settlements					FY20 settlements
State	No. lots	Av. size per lot sqm	Av. price per lot $k	$/sqm	No. lots	Av. size per lot sqm	Av. price per lot $k	$/sqm
NSW	841	371	462	1,246	844	386	414	1,072
QLD	1,675	371	257	693	1,288	371	271	730
VIC	2,043	353	292	827	1,858	367	297	810
WA	1,267	335	209	625	647	341	207	609
Total land	5,826	357	289	809	4,637	368	299	812
Total townhomes	495	N/A	623	N/A	607	N/A	617	N/A

Revenue reconciliation ($m)

2,500

1. Average price of retail settlements excludes settlements of all lots over 1,000 sqm, superlot settlements and disposal proceeds. Average price includes GST. Includes Project Development Agreements (PDAs) for which Stockland receives a part-share.

		About Stockland	Financial resultsand capital	CommercialProperty	Communities	32
			management

Providing affordable product

Residential Communities

Elara Aura Waterlea Orion

Stockland pricing relative to local median house and unit price ($)

1. Stockland data, House and Land packages (4b,2b,2c) for sale/recently sold June 2021.

2. Stockland data, Townhome product available for sale/recently sold June 2021.

3. Corelogic Median value of established houses (4b) in surrounding suburb as at June 2021.

NSW QLD

469k

1. Corelogic Median value of established units in surrounding suburb as at June 2021.

VIC

Net deposits by quarter, leads and enquiry levels

Residential Communities

Workout contribution and impairment provision balance

Residential Communities

Workout contribution to residential
Residential	Core	Workout1	Total
Lots settled	6,363	11	6,374
Revenue	$1,785m	$58m	$1,843m
Revenue	97.0%	3.0%	100%
EBIT	$411m	$9m	$420m
EBIT margin	23.0%	15.0%	22.8%
Operating profit	$331m	$0m	$331m
Operating profitmargin	18.5%	0%	18.0%
Remaining lots	96.0%	4.0%	100%
Number of projects	46	4	50
ROA	21.5 %	(19.1)%	18.9%

1. Includes all impaired projects.

2. Forecast utilisation impairment provision as at 30 June 2021, based on forecast settlement dates, revenue and costs by project.

Residential impairment provision utilisation as at 30 June 2021

	($m)
Net increase / (decrease) in impairment	(5)
Utilisation of provision	(34)

	Impairment provisionbalance($m)	Final settlement
Projects to be developed	47	~9 yrs
Disposal of undeveloped sites	41	~2 yrs
Total	88

Residential forecast utilisation of provision ($m)2

Projects to be developed out Disposal of undeveloped sites

About Stockland 35 Financial results and capital management Commercial Property Communities

Strong established settlements with temporary decline in development activity

Retirement Living

Key metrics	FY21	FY20	Change
Retirement Living
FFO	$54m	$58m	(6.9)%
Occupancy	93.7%	92.8%
Cash ROA	5.4%	5.1%
Established portfolio
Established settlements	690	564	22.3%
settlements (units)1Withheld	-	6	N/A
Total settlements (units)	690	570	21.1%
Average re-sale price ($k)	370	377	(1.9)%
Turnover cashper unit ($k)	92	93	(1.1)%
Turnover cash margin	24.1%	24.6%
Reservations on hand	154	144	6.9%
Development portfolio
Development settlements	223	290	(23.1)%
Average price per unit ($k)	564	608	(7.2)%
Average margin (excludes DMF)	11.8%	12.0%
Reservations on hand	63	49	28.6%

1. Units withheld from sale for redevelopment upon which profit has been recognised. 2. Excludes July 2021 settlements.

Established portfolio

Retirement Living

Portfolio statistics	FY21	FY20
Established villages	59	63
Established units	8,733	9,412
Established units settlements	690	564
Withheld units	-	6
Turnover rate excluding developments1	8.0%	6.8%
Turnover rate total portfolio	7.3%	6.2%
Average age of resident on entry	75.2 yrs	73.2 yrs
Average age of current residents	80.0 yrs	80.7 yrs
Average tenure on exited residents	9.6 yrs	9.1 yrs
Average village age	27.2 yrs	26.3 yrs
Development pipeline	740 units	945 units

Key valuation assumptions	FY21	FY20
Weighted average discount rate	13.2%	13.2%
Weighted average 20 yeargrowth rate	3.0%	3.2%
Average length of stay of current andfuture residents	11 yrs	11 yrs

1. Excludes development settlements from last five years.

2. Excludes Aspire, medical centres and childcare centres.

About Stockland 37 Financial results and capital management Commercial Property Communities

Retirement Living pipeline

Construction timeframe		Future settlements	FY21	FY22	FY23	FY24	FY25+
Completed	Cardinal Freeman The Residences,NSW
	Newport, QLD
	Shine Birtinya, QLD
	Sub-total	100
Current	Willowdale, NSW
	Lightsview, SA
	Somerton Park, SA
	Affinity, WA
	Calleya Aspire, WA
	Sub-total	170
To start within 18 months	Pine Lake, QLD
	Sub-total	50
Master planning/ future projects	Epping, NSW
	Sub-total	170
Redevelopments	Proposed Redevelopments
	Sub-total	250
Total future settlements		740

Land lease communities combined pipeline

Strong presence across multiple lifestyle markets with Eastern seaboard focus

South East Queensland Greater Melbourne New South Wales

About Stockland 39 Financial results

Commercial Property

Communities

and capital management

National house and land prices

Prices rising for both land and established houses in June quarter. Stock of available land at historic lows

Closing stock of land lots1 Annual price growth broad-based2

and capital management

About Stockland Financial results 40

Commercial Property

Communities

1. National Land Survey June Qtr. 2021, Research4.

2. CoreLogic June 2021.

Vacant land sales at decade highs nationally1

SEQ vacant land quarterly sales PERTH vacant land quarterly sales

1. National Land Survey June Qtr. 2021, Research.

41

Residential vacancy rates

6% Rental vacancy rates1 tightening nationally

Stockland Corporation Limited ACN 000 181 733 Stockland Trust Management Limited ACN 001 900 741; AFSL 241190 As responsible entity for Stockland Trust ARSN 092 897 348

LEVEL 25 133 Castlereagh Street SYDNEY NSW 2000

Important Notice

This Presentation and its accompanying Annexures ("Presentation") has been prepared and issued by Stockland Corporation Limited (A.C.N 000 181 733) and Stockland Trust Management Limited as Responsible Entity for Stockland Trust (ARSN 092 897 348) ("Stockland"). Whilst every effort is made to provide accurate and complete information, Stockland does not warrant or represent that the information included in this Presentation is free from errors or omissions or that is suitable for your intended use.

This Presentations and its accompanying Annexures may contain forward-looking statements, including statements regarding future earnings and distributions that are based on information and assumptions available to us as of the date of this Presentation. Actual results, performance or achievements could be significantly different from those expressed in, or implied by these forward looking statements. These forward-looking statements are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results to differ materially from those expressed in the statements contained in this Presentation.

Current market conditions remain challenging with ongoing lockdowns and community transmission of COVID-19. All forward looking statements including FY22 earnings guidance are provided on the basis that the vaccination roll out continues and COVID-19 restrictions ease towards the end of CY21.

The information provided in this Presentation may not be suitable for your specific needs and should not be relied upon by you in substitution of you obtaining independent advice. To the maximum extent permitted by law , Stockland and its respective directors, officers, employees and agents accepts no responsibility for any loss, damage, cost or expense (whether direct or indirect) incurred by you as a result of any error, omission or misrepresentation in this Presentation. All information in this Presentation is subject to change without notice. This presentation does not constitute an offer or an invitation to acquire Stockland stapled securities or any other financial products in any jurisdictions, and is not a prospectus, product disclosure statements or other offering document under Australian law or any other law.

This announcement is authorised for release to the market by Ms Katherine Grace, Stockland's Company Secretary.