KPMG - IERE

y area to 13 tenants. Approximately 34 per cent. of the Net Annual Rent for the Property Portfolio
valued as at 30 September 2006 can be attributed to acquired and Committed to be Acquired logistic
properties.
All the logistics properties are recently built or of modern construction and, in the majority of
situations, are single tenanted.
In the case of the Committed to Acquire properties, the buildings are currently being constructed to
high standards and already have a pre-lease agreement in place. Completion of the acquisition will
take place when the building is complete, the tenant is in occupation and the tenant has paid its first
rental instalment.
Retail sector
The retail portfolio consists of 3 properties (all of which are Committed to be Acquired). The Group
did not own any retail properties as at 30 September 2006.
The retail portfolio is expected to account for approximately 19 per cent. of the Market Value of the
Property Portfolio. As at the date of this Prospectus these retail properties were 99 per cent. leased
by area to 97 tenants. If the 3 Committed to be Acquired properties are acquired, the retail portfolio
is expected to contribute approximately 19 per cent. of the Company’s Net Annual Rental income.
The largest retail property of the Committed to be Acquired properties is a retail park located in
Riesa, Germany with 62 tenants, anchored by Real and Toom. Assuming it is purchased, this
property will contribute approximately 12 per cent. of the Group’s Net Annual Rent. In addition to
this property, the Group has Committed to Acquire two retail properties located in Roth and Rheda-
Weidenbrück, Germany which have a combined Market Value of A34.2 million and, if acquired, will
comprise approximately 7 per cent. of the Group’s Net Annual Rent.
Tenant Base
The Property Portfolio (including acquired properties and Committed to be Acquired properties) has
a diverse base of tenants, including multinational corporations and local enterprises, that operate
logistics, telecommunications, information technology, manufacturing, retail and other businesses.
As at the date of this Prospectus, the Property Portfolio had an Experian credit rating of 72 (out of
100) 1 (76 (out of 100) in respect of properties owned by the Group).
The average weighted term to expiration of the leases in the Property Portfolio is 10.5 years based on
market values of the properties given in the Independent Valuer’s report.
The acquired properties have a total of 30 tenants and the Committed to be Acquired properties have
a total of 105 tenants. The 5 largest tenants of the Property Portfolio account for 44 per cent. of the
total Net Annual Rent. The 10 largest tenants of the acquired properties and the Committed to be
Acquired properties can be summarised as follows:
1 Based on 98 per cent of the Property Portfolio by Net Annual Rent as at 24 October 2006.
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