Stockland · ASX:SGP
Stockland — Investor Presentation (December 2008)
10 slides from Stockland's investor presentation, Dec 2, 2008
Slide 1: Offshore Investor Presentation - December 2008
6) ™ Offshore Investor Presentation — Dec 0: Stockland Matthew Quinn economic conditions I - Growth slowing but OECD does not expect a recession in Australia apy Peay Stanatay mane S nes Fiscal Policy] I> * Big fiscal stmulus targeted at working families’ + Reserve Bank have been quick and decisive.
Slide 2: Stockland's position in the A-REIT sector
Stockland’s position in the A-REIT sector + Top 2 AREIT + Largest diversified A-REIT + Total assets of >AS14bn 10% of the A-REIT 200 Index High liquidity (100% moving annual) + Current payout ratio (FYO9) Stockiand Merrylands proposed development -100% of Trust operating earings Aas impression - 90%
Slide 3: Stockland's business model & strategy
Stockland’s business model & strategy Optimise performance from existing] businesses Fetrement —_) Leverage synergies from ting diversification (mixed use) New complementary business Anartnenes initiatives Balance of annuity and trading profits —— Prudent capital management Capital Partneris® ——} Hi
Slide 4: Capital management
Capital agement Gearing (Debt / Total Tangible Assets) Stockland vs A-REIT200 ie, or A ReT200 40% + | es 20% + 10% - - FY04 FYOS FY06 FY07 FY08 ‘S&P Rating Gearing (debttotal tangibi Weighted Average Debt Maturity “Debt Fixed / Hedged .ge Maturity of Fixed / Hedged Debt Weighted Average Cost of Debt
Slide 5: Residential - strong business model
Residential — strong business model * Scale and reach as Australia's largest residential developer + Diversity underpins business growth - Geography - Product * Proven track record of managing through market cycles SGP Profit vs Dwelling Approvals 360) mmm escralComentes mm Apc 190, 7 Severin Sore r
Slide 6: Residential market health indicators
Residential Population Growth | a> Credit Availability ) => Consumer Sentiment ) a> House Price Growth | I> Disposable Income | => ‘Oversupply => > market health ndicato + Fuelled by immigration, however any cuts in immigration may slow demand + Recent rates cuts should boost housing investment + Ti
Slide 7: Commercial Property - market conditions
Commercial Property — market conditions if Demand ] Retail Office + National vacancy level <1% + National vacancy level ~ 4.5% + Growth in retail spending has eased + Demand for office space easing due to declining business confidence + No major retailer defaults / foreclosures bs + Office tenants a
Slide 8: Commercial Property - market conditions: supply
Commercial Property — market conditions [ Supply ] Retail Office & Industrial * Strong population growth of 1.6% drives. + Increased funding costs and slow down requirement for circa 750,000m? of new in demand resulting in developers retail space per year abandoning a number of projects + New stock
Slide 9: UK market conditions and implications for Stockland
Stockland Market Conditions: + Property market conditions are very tough + UK economy experiencing significant downturn + Buyers are scarce Implications for Stockland + Exposure not material as <5% of total assets + Sales of several projects deferred — will be carried on balance sheet until market i
Slide 10: Summary & Outlook
Summary & G + Capital markets remain tough + Fundamentals of Australian economy remain sound, with potential for further monetary and fiscal stimulus + Stockland remains well placed: ~ Sound balance sheet ~ Excellent property skills ~ Experienced team 9 Castlereagh Stoot, Sydnoy 10