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  • Strategy                                             Castlereagh Street
  • Trust management                                     George Street
  • Board                                                Lee Street
  • Compliance Committee                                 Military Road
  • Management team                                      1 Mill Street
                                                         5 Mill Street
Overall portfolio                                        Pirie Street
  • Combined CFT portfolio statistics                    Pitt Street
                                                         Queen Street
Industrial property portfolio                            St Georges Terrace
  • Industrial portfolio statistics                      Victoria Street
  • Overview of performance
  • Industrial market outlook                   Retail property portfolio
  • Industrial properties :                       • Retail portfolio statistics
         Alexandria Industrial Estate             • Overview of performance
         Boundary Industrial Estate               • Retail market outlook
         Bridge Road                              • Retail properties :
         Brodie Industrial Park                          Brimbank
         Eastern Valley Way                              Castle Plaza
         Enterprise Place                                Corio
         Epping Road & Lane Cove Road                    Clifford Gardens
         Fitzgerald Road                                 Golden Grove
         Forestridge Business Park                       Grand Plaza
         Gateway Estate                                  Rockingham
         Giffnock Avenue                                 Runaway Bay
         Lyon Park Road                                  Thornlie
         Mars Road
         Montague Road                          Financials
         Old Geelong Road                         • Units on issue
         O’Riordan Street                         • Trading and liquidity
         Pavesi Street                            • Capital Expenditure
         Roberts Road
                                                                                    O ve rv i ew
                                                  • Valuation schedule
         Slough Business Park Silverwater         • Income and book value
         Smithfield Industrial Estate Stage 1     • Debt and hedges
         Smithfield Industrial Estate Stage 2     • MER
         Turner Street                            • Income data by property
                                                  • Book value data by property
Office property portfolio                         • Valuation details by property
  • Office portfolio statistics                   • Top 40 unitholders
  • Overview of performance
  • Office market outlook                       Accounts
  • Office properties :                           • Distribution statement
         Bowes Street                             • Balance sheet
         Brandon Office Park                      • Notes to the accounts
Vision                                                       Sector specific strategy
To achieve a leading, liquid, well run, diversified listed      • Industrial - we have a preference for industrial
property trust business with highly regarded                      estates and versatile sheds leased at market
management, a low, competitive cost of capital and a              rentals. We are currently working on improving
wide unit holder base.                                            the presentation of the properties.

The vehicle should have stable and growing earnings             • Office - we will maintain geographic diversity,
with an attractive cash yield, and should offer a                 but concentrate on major markets such as Sydney
competitive total return to investors.                            and Melbourne which have the required depth of
                                                                  tenant demand.
                                                                • Retail - we will maintain our focus on food and
Strategy                                                          convenience based sub regional centres. We are
Overall portfolio strategy                                        cautious in the application of low returning retail
To deliver a relatively stable, growing distribution per          concepts such as food courts and cinemas.
unit and net tangible asset value to investors, given the
prevailing property market conditions, by:
   • being active and disciplined asset managers
                                                             CFT is managed by Colonial First State Property Limited
   • maintaining a strong focus on the vehicles cost         (CFSPL), part of the Colonial First State Investments
     of capital                                              Group.
   • employing appropriate debt management facilities        Colonial First State Investments is one of Australia's
   • avoiding taking on business risk                        largest investment managers, with over $40 billion
                                                             invested across all major asset classes on behalf of more
   • acquiring only meaningfully sized, quality assets
                                                             than 320,000 investors. Colonial First State was recently
   • recognising that, whilst development is an integral     awarded the 1999 Fund Manager of the Year by Money
     part of property investment, the risks to the           Management. This is the third time in the last four years
     portfolio's cash flow must be minimised through         that Colonial First State has received this prestigious
     tenant pre-commitment and fixed price contracts         award.
     wherever possible                                       CFSPL, the responsible entity for CFT, has its own Board
   • having a preference for 'plain vanilla' property        and a wholly independent compliance committee.
     deals based on correctly priced assets without
     having to rely heavily on income support
                                                             The board of Colonial First State Property Limited has
   • taking advantage of the diversified nature of the
                                                             substantial experience in property management,
     vehicle to acquire assets, which are accretive to
                                                             investment management, accounting, finance and law
     total return, in sectors which may temporarily          and is comprised of the following individuals:
     trade at a discount to other sectors as a result of
                                                                                                                         O ve rv i ew
     the various different property cycles
                                                             P L Polson BCom MBL PMD (Chairman)
   • benefiting from the potential economies of scale
     inherent in a large property portfolio                  Peter is Managing Director of Colonial First State
                                                             Investments Group Limited and a director of other
   • seeking to improve and maintain a consistent and
                                                             Colonial Group subsidiaries. He joined Colonial Group in
     high level of disclosure to investors
                                                             October 1994. Previous positions included Managing
   • concentrating on improving systems and the              Director of National Mutual Funds Management
     quality of management information                       (International) Ltd and Managing Director of Standard
                                                             Bank Financial Services in South Africa.
   • keeping a strong focus on managing the
     relationship with tenants and keeping buildings
     full at market related rentals, and                     AJ Calder BA LLB MSc (Bldg) FAPI
   • improving liquidity and stabilising the share           Sandy is Head of Listed Property for Colonial First State
     register by introducing the fund to a wider range       Investment Managers (Australia) Limited and is
     of retail investors.                                    responsible for the day to day management of the
Colonial First State Property Trust Group ("CFT"). Sandy    Compliance committee
first joined Colonial First State Investment Managers in
                                                            The members of the compliance committee are :
May 1996 as Head of Property Securities. Prior to this
appointment, and after admission as an attorney of the         • Sean Patrick Wareing (external member)
Supreme Court of South Africa in 1988, Sandy held              • Michael John Braham (external member)
various positions in the funds management industry in
                                                               • Ian Gilbert Raper (external member)
South Africa.
                                                               • Neville John Cox (internal member)

H P Capra B.Ec, ACA                                            • Andre Carstens (internal member)

Henry is Chief Financial Officer of Colonial First State
Investment Managers (Australia) Limited and is              Management team
responsible for overseeing the finance, compliance, legal   CFSPL's management team brings a diverse range of
and taxation functions of investment management             property management and investment expertise to CFT.
operations in Australia. Before joining Colonial First      In addition to its dedicated management team, CFSPL
State in 1994, he held a senior management positions        draws on the wide resources of Colonial First State
with Barclays Global Investors and with a major firm of     Investments, in areas such as legal, finance, compliance,
Chartered Accountants, KPMG.                                taxation, marketing and communications.
                                                            Information on key members of the CFSPL senior
A Carstens BCom (Hons) CA (SA)                              management team is provided below.
Andre is Director, Finance and Corporate Development
of Colonial First State Investments Group Limited and is    AJ (Sandy) Calder - Head of Listed Property
responsible for overseeing the finance and strategic
                                                            Sandy is responsible for the day to day management of
development functions of Colonial's investment
                                                            the Colonial First State Property Trust Group (CFT).
management operations. Before joining Colonial in
                                                            Sandy joined Colonial First State Investment Managers
1994, he held senior management positions in the
                                                            (Australia) Limited in May 1996 as Head of Property
financial services industry and with Ernst & Young.
                                                            Securities. Prior to this appointment, and after admission
                                                            as an attorney of the Supreme Court of South Africa in
C E Cuffe BCom, ACA, ASIA                                   1988, Sandy held various positions in the funds
Chris is Chief Executive Officer of Colonial First State    management industry in South Africa. Sandy has 12
Investment Managers (Australia) Limited. Following a        years experience in funds management, nine of which
five year period with a major firm of Chartered             have been in the specialised fields of both listed and
Accountants, Peat Marwick Mitchell & Co (now KPMG),         unlisted property investment.
Chris entered the funds management industry where he        Sandy holds a number of qualifications including BA
has held various senior positions since 1985, assuming      LLB MSc (Bldg) and a Diploma in Financial
the role of Chief Executive Officer of First State Fund     Management. Sandy is a Fellow of the Australian
Managers Limited in 1990.                                   Property Institute and serves on the Capital Markets
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                                                            Committee of the Property Council of Australia.
P Winney BA (Economics/Law) LLB
Peter is Head Legal Counsel-Business Operations             Eduarda De Gouveia - Project Leader Property
(Australia) for the Colonial Group. Peter has 18 years      Services
experience in all aspects of commercial and banking and     Eduarda came to Colonial First State Investments in
finance related work, both at a transactional and           September 1998 as a result of the takeover of Prudential.
corporate level. Peter joined Colonial in 1998 and was      Her primary functions are to manage the
previously managing solicitor for Colonial State Bank.      implementation and integration of Timberline Property
Prior to Colonial, he worked as a corporate lawyer for      Management module into the existing Timberline suite
the Commonwealth Bank and has spent time on                 of modules within the Colonial First State environment
secondment with Clayton Utz.                                and maintain and support the product for all Property
                                                            business units. Prior to this, Eduarda was responsible for
                                                            the support and development of Prudential's in-house
                                                            developed Unit Pricing System and Property
Management/Property Accounting system. She also                Matthew Meredith - Asset Manager, Industrial
supported the company's investment management
                                                               Matthew joined the Colonial Group in November 1998.
system, HiPortfolio. Eduarda also has worked in the
                                                               Matthew's current role is Asset Manager, Industrial. In
banking industry specialising in management and
                                                               Matthew's eight years property industry experience, he
executive reporting.
                                                               has spent the last six years dealing directly with
Eduarda holds a Bachelor of Business (Computing and            industrial property. He commenced his career with MJ
Information Management).                                       Davis Valuations in Sydney, before joining Jones Lang
                                                               Wootton in 1994 on their Graduate program. Here he
Peter Feros - National Property Manager                        progressed from Property Management, to the Industrial
                                                               Property Division where he responsible for industrial
Peter joined the Colonial Group in September 1996.
                                                               leasing and disposal industrial properties. Matthew holds
Peter's current role is National Property Manager, Retail/
                                                               a Bachelor of Applied Science (Land Economics) from
Commercial. During the last three years at Colonial,
                                                               the University of Technology, Sydney.
Peter has been responsible for the management of a
number of major shopping centres. In addition to
Colonial, Peter has nine years experience in property          Peter Neville - Investment Manager, Industrial
management with various organisations including Leda           Peter is an Investment Manager responsible for the
Management, Centro and Jones Lang Wootton. Peter               Industrial Portfolio of Colonial First State Property Trust
has a Bachelor of Administration from Griffith                 Group. He was formerly the CEO of the Capital and
University, Brisbane, is a licensed real estate agent, and a   Counties Group of companies in Australia managing
member of the Property Council of Australia, Shopping          Capcount Property Trust, a listed property trust investing
Centre Committee Queensland.                                   in regional offices. Prior to Capital and Counties, Peter
                                                               was a director of Schroders Australia Property
Lachlan Gyde - Asset Manager, Office                           Management Ltd, being responsible for various roles
                                                               encompassing asset management, research, strategy and
Lachlan joined Colonial First State in March 1999 as an
                                                               acquisition. Peter has worked extensively in the property
Asset Manager. Lachlan has eight years experience in
                                                               industry in Australia and overseas in Funds and Property
asset management and a further three years experience
                                                               Management, Valuation and Consulting. Peter (ARICS
in real estate. Lachlan's previous position was with
                                                               AAPI) has completed a Bachelor of Science and Masters
Davey Financial Management (1992 - 1999), where he
                                                               in Commerce.
was responsible for asset management, purchasing and
disposal of property in Davey's unlisted property trusts.
Prior to Davey, Lachlan held several roles with Real           Anthony Poirrier - Manager, Property Research
Estate offices in the Sydney metropolitan region, selling      Anthony joined First State in January 2000 as Property
and leasing retail, commercial and industrial properties.      Research Manager.
Lachlan is a licensed real estate agent and auctioneer,        Prior to joining Colonial First State, Anthony spent three
and is a member of Australian Property Institute. He has       years with Jones Lang LaSalle in the Research
an Advanced Certificate in Property Agency and is about        department where he was the National Analyst for
                                                                                                                             O ve rv i ew
to complete a Bachelor of Commerce (Land Economics)            Office Markets in 1998, then Quantitative Analyst with
degree.                                                        the Forecasting Services Division in 1999. Anthony also
                                                               worked in residential real estate in Sydney for a period
Elizabeth Hawke - Senior Business                              of four years and is a licensed Real Estate Agent.
Development Manager                                            Anthony holds a Bachelor of Commerce (Land
                                                               Economy) from the University of Western Sydney
Elizabeth joined Colonial First State in March 2000.
                                                               (Hawkesbury). He was the winner of the 1997
Elizabeth's current role is Senior Business Development
                                                               Australian Property Institute Gold Medal for outstanding
Manager. Prior to joining Colonial First State, Elizabeth
                                                               academic performance and is a Graduate member of the
spent over four years with Lend Lease in the senior
management team of General Property Trust where she
was responsible for all investor relations and
communication. Previous experience included six years
in investment management. Elizabeth's qualifications
include a Science degree (UWA), Graduate Diploma in
Applied Finance and Investments (Securities Institute of
Australia) and MBA (AGSM).
Matthew Spillane - Acting Investment
Manager, Office
Matthew joined Colonial First State in December 1998.       Malcolm has a Bachelor of Commerce degree and is an
His current role is Commercial/Industrial Investment        Associate member of the Society of CPA.
Prior to joining Colonial First State, Matthew was a
director of Chesterton International, and before that he
spent six years with Colliers Jardine (1988-94) as
Associate Director - Property Management. Matthew has
extensive experience in asset management and through
his various consulting briefs at Chesterton International
has gained a diverse knowledge of both private and
public sector portfolio management issues.
Matthew has an Associate Diploma of Valuation and is a
member of the Australian Property Institute.

Roger Stapleton - Investment Manager, Retail
Roger joined Colonial First State in December 1998 as a
Senior Asset Manager, with responsibility for the
performance of the retail properties held in both listed
and unlisted vehicles.
Prior to Colonial First State, Roger was the General
Manager, and a Director, of CB Richard Ellis Retail in
Queensland. There he was responsible for the
management of 34 retail properties and the
management of some 80 staff. Roger joined Richard Ellis
after it took over his former employer, Kern
Corporation, in 1991. Roger joined Kern Corporation as
a centre manager in 1982.
Roger holds a Bachelor of Economics from Sydney

Malcolm Tomlinson - Financial Controller,
Malcolm Tomlinson joined Colonial First State in
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January 1999 as Financial Controller - Property.
Malcolm leads a team of 17 property accounting and
administration professionals, with 4 qualified
accountants concentrating solely on financial and
management reporting for CFT, and a further 6 team
members providing the accounting support for the
property management activities of CFT. Malcolm is
responsible for all aspects of CFT's accounting and
financial operation.
Prior to this, Malcolm has held a number of senior
financial positions in the funds management and
property industries over a 10 year period, commencing
with Mirvac Funds in 1989, followed by Barclays Global
Investors and most recently with the FAI Group.
                  More than 40 individual assets comprise the property              CFT portfolio - location breakdown ( by
                  portfolio of CFT. These include large industrial estates,         income)
                  shopping centres and office towers with a combined
                  value of approximately $1.7 billion. CFT has a well                                   WA          1%
                  diversified portfolio both in terms of geography and asset

                  Combined CFT portfolio statistics

                  CFT portfolio - lease expiry profile (by income)                                                                                  NSW

 $ Expires (% income)


                        20                                                                                                QLD

                             2001   2002     2003     2004       2005   beyond
                                                                                    Top ten Tenants - by income
                                           Year to the 30 June

                                                                                            Tenant                              Sector
                                                                                            Coles Myer                          Retail/Industrial

                                                                                            Colonial State Bank                 Office/Retail

                  CFT portfolio - sector breakdown (by income)                              WA Government                       Office

                                                                                            Woolworths                          Retail

                                                                                            State Rail Authority                Office

                                                                                            BNP                                 Office

                                                                                            Seahighway                          Industrial

                                                                                            SA Government                       Office
                                                                           RETAIL           Fujitsu                             Office
OFFICE                                                                                      NEC                                 Office
                                                                                                                                                          P o rt f o l i o
                                                                                    Financial summary

                                                                                                                                    June 2000
                                           INDUSTRIAL                                      Distribution per unit (6 months)         9.0 cents
                                              30%                                          Net tangible assets for unit             $1.98

                                                                                           Total number per units (M)               590.2

                                                                                           Total assets ($M)                        1,704.6

                                                                                           Total Liabilities ($M)                   536.9

                                                                                           Unitholders’ equity ($M)                 1,167.6

                                                                                           Gearing ratio                            28.8%

                                                                                           Unit price                               $2.06

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