Stride Property Group – Annual Shareholder Meetings 2018

Stride Property Group (NS)
NZX Announcement
IMMEDIATE — 30 August 2018



W strideproperty.co.nz
Stride Property Group
Annual Shareholder Meetings 2018

The Annual Shareholder Meetings of Stride Investment Management Limited and Stride Property
Limited will be held today at the Pullman Hotel, Auckland, commencing at 11:00am.

Attached is a copy of the following:

• The Chairman and Chief Executive’s Address;

• The presentation for the Annual Shareholder Meetings.


End


For further information please contact:
Tim Storey, Chairman, Stride Investment Management Limited / Stride Property Limited
Mobile: 021 633 089 - Email:
tim.storey@strideproperty.co.nz

Philip Littlewood, Chief Executive Officer, Stride Investment Management Limited
DDI: 09 913 1122 - Mobile: 021 230 3026 - Email:
philip.littlewood@strideproperty.co.nz

Jennifer Whooley, Chief Financial Officer, Stride Investment Management Limited
DDI: 09 913 1150 - Mobile: 021 536 406 - Email:
jennifer.whooley@strideproperty.co.nz

Louise Hill, General Manager Corporate Services, Stride Investment Management Limited
DDI: 09 976 0352 - Mobile: 0275 580 033 - Email:
louise.hill@strideproperty.co.nz

A Stapled Security of the Stride Property Group comprises one ordinary share in Stride Property Limited and
one ordinary share in Stride Investment Management Limited. Under the terms of the constitution of each
company, the shares in each can only be transferred if accompanied by a transfer of the same number of
shares in the other.

Stapled Securities are quoted on the NZX Main Board under the ticker code SPG. Further information is
available at
www.strideproperty.co.nz or at www.nzx.com/companies/SPG.

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Annual Meetings 2018
1

Annual Meetings 2018 Chairman and Chief Executive
Address

Slide 1 - Stride Property Group Annual Meetings 2018
Chairman’s Introduction
Good afternoon ladies and gentlemen.
My name is Tim Storey, and I am an Independent Director and Chairman of Stride Property Limited and
Stride Investment Management Limited, the two companies that comprise Stride Property Group.
On behalf of the Directors of each Board, the Chief Executive and the Executive Team, it’s my great
pleasure to welcome you to this year’s annual meetings of shareholders.
First, to some housekeeping matters: In the event of a fire, an alarm will sound. To exit the building,
head out the door you came in, turn right and then exit through the external fire exit doors at the end of
the corridor, and congregate on Princes Street. Please follow all instructions of Pullman staff in the
event of an evacuation.
The bathrooms are located out the door, turn left, and continue down the corridor to the end. If we can
be of any assistance, please approach one of our team.
Slide 2 – Board of Directors
I would now like to introduce your Directors and Executives who are seated next to me. Firstly, the
independent Directors of Stride Property Limited and Stride Investment Management Limited:
• John Harvey, who is the Chairman of the Audit and Risk Committee, and who is standing for
re-election today. I will let John tell you about his skills and experience in the formal part of the
meetings;
• David van Schaardenburg; David is a principal of the investment firm, New Zealand Funds
Management, and has worked in financial analysis and portfolio management roles for over 30
years;
• Michelle Tierney; Michelle has more than 20 years’ experience in the property industry, and
was most recently the General Manager of Business Development and Strategy for the
National Australia Bank Global Institutional Bank;
• Philip Ling; Philip has more than 30 years’ experience in funds and property management
entities throughout New Zealand, Australia, the United Kingdom and Asia Pacific; and

Annual Meetings 2018
2
• Michael Stiassny, who has 40 years of experience in financial consultancy and now specialises
in strategic advisory and issues resolution. Michael is currently Chairman of Vector Limited,
Tower Limited and Ngati Whatua Orakei Whai Rawa Limited. As set out in the Notice of
Meetings, Michael will be retiring today and is not seeking re-election as a director. I would
like to take this opportunity to thank Michael for his considerable contribution to Stride over
the last eight years, including its transformation to the stapled structure and the successful
business it is today.
In addition, we also have members of our Executive here today:
• Philip Littlewood, the Chief Executive Officer of Stride Investment Management Limited;
• Jennifer Whooley, the Chief Financial Officer of Stride Investment Management Limited; and
• Louise Hill, the General Manager Corporate Services and Company Secretary of Stride
Investment Management Limited and Stride Property Limited.
I also acknowledge attendance of other members of our leadership team, and you will have the
opportunity to meet them following the conclusion of the meetings.
Finally, a little bit about myself: I was appointed Chair of Stride in 2009 and have more than 30 years’
business experience across a range of sectors. I have practised as a lawyer in Australia and New
Zealand, retiring from the Bell Gully partnership in 2006, and am a director of a number of private and
public entities.
I also welcome:
• Stride Property Group’s auditors, PricewaterhouseCoopers;
• the Group’s solicitors, Bell Gully; and
• representatives of Computershare, the share registrar for Stride Property Group.
Slide 3 – Agenda
Moving to the formalities of the meetings, I record that the Notice of Meetings of Stride Property
Limited and Stride Investment Management Limited was dispatched to shareholders and the Group’s
auditors on 30 July 2018.
I am pleased to confirm that we have a quorum present for each of the meetings and accordingly, I
declare the annual meetings open.
The order of events for this morning will be as follows:
• Shortly the Chief Executive and myself will provide a brief overview of Stride Property Group’s
financial and business performance for the year in review.
• Following this, questions and comments from shareholders will be taken in relation to the
Annual Report and financial statements of Stride Property Group.

Annual Meetings 2018
3
• We will then move to the formal business of the meeting of Stride Property Limited to consider
the resolution proposed in the Notice of Meetings.
• We will then move to the formal business of the meeting of Stride Investment Management
Limited, to consider the two resolutions proposed in the Notice of Meetings.
• The process for discussion and voting on each of the resolutions will be outlined at the
appropriate time.
• And finally, we will attend to any general business and final questions.
At the conclusion of the meetings, please join the Directors and Executive Team for light refreshments.
Slide 4 - Chairman’s Address - Tim Storey
Stride has had a very successful year, outperforming the prospective financial information
1
from 2016,
and undertaking a number of transformative transactions, including agreeing with Waste Management
to develop a new Auckland head office in return for a 25-year lease.
Stride’s performance during the 2018 financial year is a testament to our strategy of investing in our
people, and the strength of Stride management, as well as our focus on continuing to grow our real
estate investment management business.
Slide 5 – Strategy
Shareholders may recall that at the annual shareholder meeting for 2017, we set out a strategy for
Stride’s future. Central to this strategy was our vision for Stride to be the best performing listed
property entity in New Zealand.
We outlined three major objectives to achieve this vision, which were to:
1. Develop and grow a real estate investment management business for the long term;
2. Use our expertise to invest in and manage quality investment portfolios that attract highest
demand and deliver market-leading returns to our investors; and
3. Focus on creating value for our investors in our funds management business by creating
sustainable growth opportunities, leveraging the specialist expertise that we have developed
within Stride. Said another way, if our investment management investors win, our shareholders
win.

1 As contained in the Stride Property Limited Notice of Special Meeting of Shareholders and Explanatory Memorandum dated
10 June 2016.

Annual Meetings 2018
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Slide 6 – Strategic Pillars
We believe these strategic objectives will be delivered through the four pillars of our business –
• Performance: We target investments that show high, long-term demand with consistently
strong returns, as well as continuing to grow our high performing and sustainable investment
management business.
• People: We are committed to building our capability to deliver a full range of services from
asset management to property development, from finance to corporate services and
investment management.
• Places: We leverage our investment management, development and leasing expertise to
select property investments that deliver market leading returns.
• Products: We create and manage single sector focused investment products for our investors.
We co-invest in our products to ensure we have a long-term alignment with our investors, so
our success is aligned to the success of our products.
Philip Littlewood, the Chief Executive Officer for Stride Investment Management Limited, will soon take
you through some of Stride’s achievements for the year in review. However, I would like to provide an
overview of our delivery of the Stride strategy during the previous year by focusing on our
achievements against each of these four strategic pillars.
Slide 7 – Performance
The Group performed strongly in achieving its performance objectives this year.
Stride Property Limited, the property investment arm of the Group, had very strong performance during
the latest financial year, with a net valuation gain of 5.6%
2
or $47.2 million fair value revaluation
movement in investment properties as compared to the forecast which had assumed no increase in
portfolio value.
Stride Investment Management Limited, the real estate investment management arm of the Group,
delivered strong growth in management fee income, taking total management fee income to
$21 million, up $2.2 million on forecast
3
.

2 Investment property portfolio valuation increase excludes $0.8m arising from the elimination of the development fees
charged by Stride Investment Management Limited to Stride Property Limited and includes $9.5m fair value uplift from the
restructure of the Bunnings leases. The investment property portfolio excludes the valuation of NorthWest Two, which is
classified as inventory in the financial statements. As at 31 March 2017, the investment property portfolio was valued at
$859m.
3 On 10 June 2016, SPL issued an Explanatory Memorandum as a part of its restructuring into a stapled group. The above is
a comparison of the prospective financial information in the Explanatory Memorandum to Stride Property Group’s actual
results for the year ended 31 March 2018 (FY18).

Annual Meetings 2018
5
Overall, this led to profit after income tax for the Group of $95.3 million, a $59.6 million increase on
forecast
3
. Distributable profit
4
after current income tax for Stride Property Group was also higher, up
1.9% on forecast
3
for the 2018 financial year, to 10.63 cents per share.
The total cash dividend for the year ended 31 March 2018 was 9.91cents per share, in line with
guidance. This dividend represents a payout of 93.2% of distributable profit, which is slightly below
Stride’s payout policy of 95% to 100% of distributable profit, reflecting some short-term benefits from
lower corporate costs for the 2018 financial year which are expected to stabilise in the current
financial year. The Board expects the dividend payout for the 2019 financial year to be within the
policy range of 95% to 100% of distributable profit.
Slide 8 – People
We are committed to building our people capability to enable the delivery of a full range of real estate
investment management services. We think this is an important component of our growth objectives.
There have been a number of important changes in people at Stride during the year in review. In
addition to the new Chief Executive, Philip Littlewood, there was also the appointment of Philip Ling as
a new director.
We also established two new teams at Stride in order to best meet the needs of our investors. These
two teams are the Development team, with responsibility for development across all asset classes and
all products at Stride, and the Corporate Services team, which has responsibility for governance, risk,
health and safety and in-house legal. These teams provide a step change for our investment
management platform and in the case of the Development team, we believe will result in more
investment opportunities for investors and higher fee revenue for Stride in the future.
In addition, we announced this week the establishment of a new role in the Stride executive team of
Investore Fund Manager, and the appointment of Fabio Pagano to that role. The new role will support
Stride’s continued provision of market leading real estate investment management services to
Investore Property Limited, an NZX listed property vehicle which is managed by Stride Investment
Management Limited. Fabio brings excellent property management experience, particularly in the
large format retail sector, and I welcome Fabio to the Stride team.
Slide 9 – Places
Our strategy for our places focuses on selecting assets and delivering outcomes that result in market
leading returns for you, our shareholders.
While there have been a number of transactions undertaken during the year which Philip will tell you
more about shortly, I ’d like to make particular note of two industrial developments. The first is at
Rockridge Avenue in Penrose, Auckland. This new industrial building is now completed and fully

4 Distributable profit is a non-GAAP financial measure adopted by Stride Property Group (Stride) to assist Stride and
investors in assessing Stride’s profit available for distribution. It is defined as net profit/(loss) before income tax, adjusted for
non-recurring and/or non-cash items, share of profits in associates, dividends received from associates and current tax.
Further information, including the calculation of distributable profit and the adjustments to net profit before income tax, is set
out in note 8 of the consolidated financial statements for the year ended 31 March 2018.

Annual Meetings 2018
6
leased, and was completed for a yield on cost of 7.1% including land. This completes the industrial
centre in this location, which now comprises 6 buildings, all of which were developed by Stride.
The second industrial development of note is at Springs Road, Auckland. This was formerly a Lion
Breweries bottling plant, which has now been demolished to make way for a new national head office
for Waste Management. Once completed Waste Management will enter into a 25-year lease for the
property. This is truly an outstanding transaction for our industrial and development teams.
Slide 10 – Products
Our Products are the funds we manage. Stride Investment Management Limited, or SIML, currently
manages three property portfolios – Stride Property, Investore Property Limited (
Investore) and
Diversified NZ Property Trust (
Diversified). Investore is listed on the NZX and owns a portfolio of large
format retail properties, with Stride Property owning approximately 20% of Investore. Diversified is a
private trust, owned by two Australian superannuation entities, with Stride also having a 2% interest in
that trust. Diversified owns four shopping centres in New Zealand, one of which, Johnsonville
Shopping Centre, is owned 50:50 by Diversified and Stride. Overall, the total property assets managed
by SIML were worth $2.2 billion as at 31 March 2018, up $100 million from 31 March 2017.
We have had a successful and highly active year for both Investore and Diversified. Stride has a high
level of alignment with the success of its products, through its co-investment performance and through
management fees earned.
Investore had its second year of out-performing its forecasts for the year to 31 March 2018, and we
believe the company is well positioned for future growth, having completed its second foundational
phase of strategy, which is described in detail in Investore’s annual report for the year ended 31 March
2018.
In the case of Diversified, SIML undertook 335 leasing transactions
5
, delivering increased rentals – a
great result for our retail team. We also opened Wellington’s first H&M store, on time and on budget,
and have a growing pipeline of development activity at Queensgate and across the portfolio.
Slide 11 – Board Update
As I mentioned previously, Michael Stiassny is retiring as a director of both Stride Property Limited and
Stride Investment Management Limited at the conclusion of these meetings. On behalf of the Board
and shareholders, I thank Michael for his significant contribution to the businesses over the eight years
he has been on the Board, a time of great change for Stride. Michael’s retirement is part of a refresh
programme for the Boards, which will be undertaken progressively over the next 24 months through to
the 2020 annual shareholder meetings.
As we signaled to the market, we will begin the formal process of searching for a new director for the
Boards, with a view to ensuring the Boards have the requisite skills to continue to meet Stride’s

5 This includes all leasing transactions undertaken for Johnsonville Shopping Centre, which is owned 50:50 by Stride
Property and Diversified NZ Property Trust.

Annual Meetings 2018
7
evolving needs as it implements its clearly articulated investment management and property
investment strategy.
It is anticipated that the Boards will appoint two new directors over the next period prior to Stride’s
2019 annual shareholder meetings.
During the 2018 financial year the Boards have focused on updating their corporate governance
policies and practices to ensure alignment with the NZX Corporate Governance Code, and to ensure
we adhere to best practice corporate governance principles and high levels of ethical standards.
I encourage you to read the information on our corporate governance practices in our 2018 annual
report.
Slide 12 – Outlook
In conclusion I’m very pleased to report we have made a strong start in our first two years of operations
as a stapled group. Our investment management platform is established, and we are very pleased to
report that we are executing on strategy and delivering on performance.
We plan to take the business forward by firstly prioritising the interests of our investors at all times and,
in doing so, growing the business through our existing products and through the establishment of new
sector specific products.
Finally, in terms of dividend guidance, the Board has confirmed a target combined cash dividend of
9.91cents per share for the 2019 financial year, in line with that for 2018. As noted, this dividend is
expected to be within the policy range of 95% to 100% of distributable profit. The Boards this
morning approved a combined cash dividend for Stride Property Limited and Stride Investment
Management Limited for the first quarter of the 2019 financial year (April to June) of 2.4775 cents per
share. The dividends will be paid on 21 September 2018 to all shareholders on the register at the
close of business on 14 September 2018.
I’ll now hand over to Philip Littlewood, the Chief Executive Officer for SIML, to go through each of the
businesses that make up Stride Property Group in a little more detail.
Slide 13 – Chief Executive Report – Philip Littlewood
Thanks Tim, and good morning ladies and gentleman. As Tim said, I have the pleasure of presenting to
you today in my role as CEO.
Slide 14 - Tw o Businesses, One Group
Stride Property Group consists of two separate companies, with two distinct businesses, that together
seek to deliver market leading returns for our shareholders.

Annual Meetings 2018
8
Stride Property Limited has a diverse portfolio of quality New Zealand commercial property
investments which were valued at $902 million
6
as at 31 March 2018.
Stride Investment Management Limited or SIML is a specialist real estate investment manager,
managing $2.2 billion of investment property, including the Stride Property portfolio.
Our integrated structure is unique in New Zealand and allows Stride to develop both its property
investment business and its investment management business. Stride’s stapled share structure means
shareholders hold interests in both types of businesses while allowing each entity to focus on its
specialist core activity.
Slide 15 – Group Financial Performance and Value
As Tim mentioned, the 2018 financial year was a successful year for the Stride Property Group with
profit after income tax of $95.3 million, up $59.6 million on forecast
7
of which $47.2 million related to
the fair value revaluation movement in investment properties
8
.
Underlying performance was also strong, with distributable profit
9
after current income tax of
$38.8 million, up $0.7 million or 1.8% on forecast
6
.
As at 31 March 2018 Stride’s net tangible assets were $1.82 per share, up 15 cents per share from
31 March 2017, primarily reflecting the value of Stride’s investment properties, but excluding the value
of SIML’s management contracts. We believe that value should be attributed to the management
contracts and added to the net tangible asset per share value. Over time, as we execute our strategy,
we believe the value of our management contracts will become increasingly important to the overall
value of Stride Property Group.
We were very pleased to see an improvement in the share price following the release of our financial
results, with the share price improving from $1.78 prior to the release of the results announcement to
$1.90 at the close of the market yesterday.

6 Includes NorthWest Two, Auckland, which is classified as inventory in the consolidated financial statements. Refer note 13
to the consolidated financial statements in the Annual Report for the year ended 31 March 2018.
7 On 10 June 2016, SPL issued an Explanatory Memorandum as a part of its restructuring into a stapled group. The above is
a comparison of the prospective financial information in the Explanatory Memorandum to Stride Property Group’s actual
results for the year ended 31 March 2018 (FY18).

8 The forecast had assumed no increase in portfolio value.
9 Distributable profit is a non-GAAP financial measure adopted by Stride Property Group (Stride) to assist Stride and investors
in assessing Stride’s profit available for distribution. It is defined as net profit/(loss) before income tax, adjusted for non-
recurring and/or non-cash items, share of profits in associates, dividends received from associates and current tax. Further
information, including the calculation of distributable profit and the adjustments to net profit before income tax, is set out in
note 8 to the consolidated financial statements for the year ended 31 March 2018.

Annual Meetings 2018
9
Slide 16 – Portfolio Overview – Stride Property Limited
The Stride Property portfolio was valued at $902 million
10
at 31 March 2018, representing a net
valuation gain of $48.3 million
11
, or 5.6%. The valuation movement was primarily driven by both strong
market rental growth and capitalisation rate compression, with the weighted average capitalisation rate
for the investment portfolio firming to 6.6%.
As at 31 March 2018, Stride’s weighted average lease term was 5.1 years.
Occupancy across the portfolio was in line with last year at 96.7%. I note that subsequent to balance
date, the remaining space at 15 Rockridge Avenue, Auckland, was leased, resulting in the occupancy
rate increasing to 98.8%.
Slide 17 - Portfolio Activity – Stride Property Limited
The 2018 financial year was a very active one for Stride Property when SIML, on behalf of Stride
Property, completed 282 lease transactions
12
representing over 267,000 square metres.
As a result of this activity, forecast expiries for FY20 have reduced from 17.5% as at 31 March 2017
to 10.1% as at 31 March 2018. FY19 expiries represented 8.7% of portfolio contract rental
13
at 31
March 2018, however of that figure 2.0% have already been completed so far this year, and we are
well underway with completing the remainder.
Completed rental reviews for Stride Property during the financial year equated to a 3.1% average total
uplift, or 2.8% on an annualised basis. Rent increases from lease renewals were up 3.4% and rent
increases from new lettings were up 4.8%, in comparison to previous rentals.
Other portfolio highlights during the financial year included:
• The sale of three Bunnings operated properties to Investore for $78.5 million, equating to a net
$9.5 million fair value uplift on 31 March 2017 values, primarily arising from the restructure of
the leases prior to sale;
• We also completed the development at 15 Rockridge Ave, Auckland, a new 9,000 square
metre warehouse, completed at a yield on cost of 7.1% (including land);
• And we committed to redevelop Stride’s property at Springs Road, Auckland, for a new head
office for Waste Management. Once completed, this facility will be leased for 25 years, at an
initial net rental of $3.9 million per annum. The base cost of the project is $43 million, and the

10 Includes NorthWest Two, Auckland, which is classified as inventory in the consolidated financial statements. Refer note 13
to the consolidated financial statements in the Annual Report for the year ended 31 March 2018.
11 Includes NorthWest Two, Auckland, which is classified as inventory in the consolidated financial statements. Refer note 13
to the consolidated financial statements on page 53 of the Annual Report for the year ended 31 March 2018.
12 This includes all leasing transactions undertaken for Johnsonville Shopping Centre, which is owned 50:50 by Stride
Property and Diversified NZ Property Trust.
13 Contract rental is the amount of rent payable by each tenant, plus other amounts payable by that tenant under the terms
of the relevant lease as at 31 March 2018, annualised for the 12 month period on the basis of the occupancy level for the
relevant property as at 31 March 2018, and assuming no default by the tenant.

Annual Meetings 2018
10
tenant is able to expand the scope of works by up to $23 million with an associated increase in
rental. Completion is targeted for the second half of the 2019 calendar year.
Slide 18 – Shopping Centre Sales Growing
Stride Property owns a number of metropolitan and regional shopping centres. Our two largest centres
at NorthWest and Silverdale
14
showed strong total sales growth in the 2018 financial year of 14.4%
and 4.4% respectively. In the case of NorthWest, specialty sales alone grew by 13.5% to $8,075 per
square metre on a like-for-like basis
15
.
This growth is in line with our forecasts and is highly encouraging, especially when considering that
NorthWest’s primary catchment is forecast to be one of the fastest growing regions in New Zealand,
with 30,000 new houses and 75,000 new residents expected over the next two to three decades.
The next stage to open at NorthWest is Auckland Council’s new Warren and Mahoney designed
3,600 square metre Multipurpose Community Facility on the western side of the town square at
NorthWest. This building is expected to be completed late this year and open early in 2019 and we
expect will add further demand and activity for our shopping centre. We think the NorthWest Shopping
Centre is well placed to benefit from the public investment in the NorthWest region of Auckland and the
rapid growth in the area.
Slide 19 – Real Estate Investment Management Activity
I’ll now turn to our investment management business.
SIML currently manages $2.2 billion of property assets across three portfolios, including $1.3 billion of
external assets. The total value of the property assets under management by SIML has grown by
$100 million over the 2018 financial year.
Some of the key activity undertaken by SIML during the financial year for its managed portfolios
included:
• We completed over 600 leasing transactions across all three portfolios of Stride Property,
Investore and Diversified – a run rate of over two deals for every working day of the year;
• We launched a $100 million bond offer for Investore in March 2018, and the bonds were
issued in April 2018;
• We acquired five properties on behalf of Investore, totaling $79.9 million, and managed the
sale of two properties for Investore, at an 11% premium to book value;
• We are managing the rebuild of the Queensgate Shopping Centre for Diversified and
completed a new H&M store at the Queensgate Shopping Centre on time and on budget.

14 Sales data is not collected for all tenants at Silverdale Shopping Centre. Some tenants are not obliged to provide sales
data under the terms of their lease.
15 Like-for-like specialty sales only includes sales from those tenancies who have traded for the past 24 months and
includes commercial services categories.

Annual Meetings 2018
11
As a result of the activity undertaken by SIML during the year, Investore had a very successful year,
achieving profit after income tax of $46.2 million, up $27 million on forecast
16
. The forecast had
assumed no increase in portfolio value which was a movement of $23.7 million.
All this activity added up to a great year for our investment management business, with fee income for
FY18 totaling $21 million, which was $2.2 million ahead of forecast
17
.
Slide 20 – Capital Management
Stride continues to maintain a strong capital structure, with a loan to value ratio on Stride’s investment
portfolio as at 31 March 2018 of 34.1 %
18
.
The bank debt facility of Stride Property consists of two $200 million facilities, and as at 31 March
2018 there was $92 million of banking facility headroom available.
As at 31 March 2018, interest rate hedging was in place to cover 83% of drawn bank borrowings,
which reflects the Board taking a conservative position on interest rate risk. Subsequent to balance
date, a restructure of some of this hedging was completed, resulting in average duration increasing
from 2.8 years to 5.2 years, and a net additional $20 million of hedging cover put in place resulting in a
better aligned hedging profile with an increased weighted average hedging duration.

Slide 21 – Future
In terms of our future, Stride is developing an investment management business for the long term. Over
time we will seek to establish a group of commercial property funds to provide the opportunity for
further growth in our investment management business. We will seek to use Stride Property’s balance
sheet to acquire properties that will ultimately be used to establish these new focused funds, with
Stride Property co-investing in any new fund, providing alignment of interest between Stride and
investors. Stride will also seek to leverage the in-house development capability of SIML to identify and
undertake new developments to deliver the strong investment returns we require.
We also believe that there is latent growth opportunity within the portfolios currently managed by SIML.
In particular, the Diversified portfolio includes Queensgate Shopping Centre, with the rebuild yet to be
completed following the Kaikoura earthquake. There are also some further portfolio initiatives that are
currently in the advanced planning stage within the Diversified portfolio which, if they proceed, will
provide additional opportunity for SIML.

16 Calculated based on the audited numbers in the financial statements for 2018 and the forecast numbers contained in the
Product Disclosure Statement issued by Investore Property Limited (Investore) on 10 June 2016 and associated information
published on the online register maintained by the Companies Office and the Registrar of Financial Service Providers on 10
June 2016 in connection with Investore’s initial public offering.
17 On 10 June 2016, SPL issued an Explanatory Memorandum as a part of its restructuring into a stapled group. The above
is a comparison of the prospective financial information in the Explanatory Memorandum to Stride Property Group’s actual
results for the year ended 31 March 2018 (FY18).
18 Includes NorthWest Two, Auckland, which is classified as inventory in the consolidated financial statements. Refer note
13 to the consolidated financial statements in the Annual Report for the year ended 31 March 2018.

Annual Meetings 2018
12
This type of growth is indicative of the leveraged-investment management model we see for Stride,
where, as we establish further products, Stride will incrementally benefit as each of our products
performs and grows.
Our primary focus is to make sure that we deliver on the plan we set out to investors at fund
establishment. We are setting Stride up for a sustainable investment management business which
creates long term value for our investors.
I thank you for your time today and will now hand back to Tim for the formal business of the meetings.

End

For further information please contact:
Tim Storey, Chairman, Stride Investment Management Limited / Stride Property Limited
Mobile: 021 633 089 - Email:
tim.storey@strideproperty.co.nz

Philip Littlewood, Chief Executive Officer, Stride Investment Management Limited
DDI: 09 913 1122 - Mobile: 021 230 3026 - Email:
philip.littlewood@strideproperty.co.nz

Jennifer Whooley, Chief Financial Officer, Stride Investment Management Limited
DDI: 09 913 1150 - Mobile: 021 536 406 - Email:
jennifer.whooley@strideproperty.co.nz

Louise Hill, General Manager Corporate Services, Stride Investment Management Limited
DDI: 09 976 0352 - Mobile: 0275 580 033 - Email: louise.hill@strideproperty.co.nz



A Stapled Security of the Stride Property Group comprises one ordinary share in Stride Property Limited
and one ordinary share in Stride Investment Management Limited. Under the terms of the constitution
of each company, the shares in each can only be transferred if accompanied by a transfer of the same
number of shares in the other.

Stapled Securities are quoted on the NZX Main Board under the ticker code SPG. Further information
is available at
www.strideproperty.co.nz or at www.nzx.com/companies/SPG.

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Stride Property Group (NS)
Annual Shareholder Meetings
2018

2
Board of Directors
Tim Storey
Independent
John Harvey
Independent
Michelle Tierney
Independent
David van Schaardenburg
Independent
Philip Ling
Independent
Michael Stiassny
Independent
2

Chairman’s Address
–Tim Storey
Chief Executive’s Report
–Philip Littlewood
Shareholder Questions
Formal Business of Meeting of Stride Property Limited
–Tim Storey
Formal Business of Meeting of Stride Investment Management Limited
–Tim Storey
General Business and Shareholder Questions
Agenda
3

Chairman’s Address
Tim Storey
4

Vision
To b e t h e b e s t p e r f o r m i n g
listed real estate investment
and management company
in New Zealand
Strategy
Stride is developing a real estate investment
management business for the long term
We use our expertise to invest in and manage
quality investment portfolios that attract the
highest demand and deliver market-leading
returns to our investors
We believe that by creating value for our investors
we will continue to create sustainable growth
opportunities for Stride’s shareholders
Strategy
5

Strategic Pillars
6

1.Investment property portfolio valuation increase excludes $0.8m arising from the elimination of the development fees charged by Stride Investment Management Limited
(SIML) to Stride Property Limited (SPL) and includes $9.5m fair value uplift from the restructure of the Bunnings leases. The investment property portfolio excludes the
valuation of NorthWest Two, which is classified as inventory in the financial statements. As at 31 March 2017, the investmentproperty portfolio was valued at $859m.
2.On 10 June 2016, SPL issued an Explanatory Memorandum as a part of its restructuring into a stapled group. The above is a comparison of the prospective financial
information in the Explanatory Memorandum to Stride Property Group’s actual results for the year ended 31 March 2018 (FY18).
3. The forecast had assumed no increase in the portfolio value.
4. Distributable profit is a non-GAAP financial measure adopted by Stride Property Group (Stride) to assist Stride and investors in assessing Stride’s profit available for
distribution. It is defined as net profit/(loss) before income tax, adjusted for non-recurring and/or non-cash items, share of profits in associates, dividends received from
associates and current tax. Further information, including the calculation of distributable profit and the adjustments to netprofit before income tax, is set out in note 8 of
the Consolidated financial statements for the year ended 31 March 2018.
Stride Property’s net property value
1
increased
Profit after income tax, up $59.6m on forecast
2
,
reflecting a $47.2m fair value revaluation
movement in investment properties
3
Management fee income (including SPL fees)
up $2.2m on forecast
Full year cash dividend for FY18
7
Distributable profit
4
after current income tax, up
1.9% on forecast

New
Development
teamNew
Corporate Services
team
Appointment of new
CEO
Philip Littlewood
Appointment of new
Director
Philip Ling
8

9
15 RockridgeAvenue, Auckland
11 Springs Road, Auckland concept

1.Independent valuations as at 31 March 2018.
Portfolio composition by value
1
2%
~20%
NZX Listed
Private Trust
10

Refresh Programme for Boards
Boards to be refreshed over
next two years
Two new directors expected to
be appointed before 2019
shareholder meetings
Corporate Governance Update
Boards updated corporate
governance policies and
practices
Adherence to best practice
corporate governance principles
and high ethical standards
Board Update
11

Outlook
Dividend guidance for FY19 –
targeting a combined cash dividend
for Stride Property Group of
12
Growth will come from:
!Growing the existing business, including real estate
investment management activity from existing portfolios
which contain development prospects
!Establishing new sector specific products, utilising
the Stride Property balance sheet

Chief Executive Report –
Philip Littlewood
13

Two Businesses, One Group
Portfolio valuation – independent valuations
of owned and managed properties as at
31 March 2018
Stride Investment Management
Limited manages three property
portfolios:
Stride Property Limited invests
in quality New Zealand property
investments:
1. Includes NorthWestTwo, Auckland, which is classified as inventory in the consolidated financial statements.
14

Profit after income tax, up $59.6m on forecast
reflecting a $47.2m fair value revaluation movement
in investment properties
Net tangible assets per share
Increase in net tangible assets
per share from 31 March 2017
Group Financial Performance and Value
$1.82
15
$0.15
$95.3m

As at
31 March 18
As at
31 March 17
Properties (no.)
26
29
Te n a n t s ( n o . )
379
380
WALT (years)
5.1
4.9
Occupancy Rate (by area)
96.7%
96.8%
Portfolio Valuation
1
($m)
902.2
895.3
1.Includes NorthWest Two, Auckland, which is classified as inventory in the financial statements.
Portfolio Overview – Stride Property Limited
16
Subsequent to balance date, occupancy increased to 98.8%,
with 15 Rockridge Ave, Auckland being fully let

Portfolio Activity –Stride Property Limited
!Three Bunnings properties sold to
Investorefor $78.5m
!15 Rockridge Ave, Auckland –completed
at a yield on cost of 7.1% (including land)
!11 Springs Road, Auckland
– new $43m facility with 25-year lease
to Waste Management
!282 lease transactions completed
!Rental reviews for FY18 giving
3.1% average total uplift
1.Represents the scheduled expiry for each lease, excluding any rights of renewal that may be granted under each lease, for theentire portfolio as at 31 March 2018,
as a percentage of Contract Rental.
2.Contract Rental is the amount of rent payable by each tenant, plus other amounts payable to SPL by that tenant under the terms of the relevant lease as at
31 March 2018, annualised for the 12 month period on the basis of the occupancy level for the relevant property as at 31 March 2018, and assuming no default
by the tenant.
Lease expiry profile
1
by Contract Rental
2
17

NorthWestShopping Centre
and NorthWestTw o s a l e s
1
increased
NorthWestspecialty sales
2
increased to $8,075 per square metre
Silverdale Centre sales
3
increased
Shopping Centre Sales Growing
18
1.Total retail sales is the annual sales on a rolling 12-month basis (excluding GST).
2.Like-for-like specialty sales only includes sales from those tenancies who have traded for the past 24 months and includes commercial services categories.
3.Sales data is not collected for all tenants at Silverdale Shopping Centre. Some tenants are not obliged to provide sales dataunder the terms of their lease.
+14.4%
+13.5%
+4.4%

Real Estate Investment Management Activity
!Profit after income tax $46.2m,
up $27.0m on forecast
1
reflecting a $23.7m fair value
revaluation movement in
investment properties
2
!$100m six year bonds issued
at 4.40% in April 2018
!Disposed two assets for $32.6m,
11% premium to book value
!39 leasing transactions
completed, reflecting an increase
of +2.7% over previous rentals
!Successful delivery of H&M
development at Queensgate,
on time and on budget
!Significant development pipeline,
including Queensgate rebuild
!335 leasing transactions
completed
3
reflecting an
increase in rentals
Real estate investment
m
anagement fee
i
ncome ($m)
19
1.Values above are calculated based on the audited numbers in the financial statements for 2018 and the forecast numbers containedin the Product Disclosure
Statement issued by InvestoreProperty Limited (Investore) on 10 June 2016 and associated information published on the online register maintained by the Companies
Office and the Registrar of Financial Service Providers on 10 June 2016 in connection with Investore’sinitial public offering.
2. The forecast had assumed no increase in the portfolio value.
3.Includes all leasing transactions at Johnsonville Shopping Centre, which is owned 50:50 by Stride Property and Diversified

1.The LVR calculation includes the value of inventory of $36.3m in the value of properties and ignores the value of the investments in the managed funds.
2.The Weighted Average Lease Term in a property or portfolio, assuming it is fully leased. This is weighted by the income applicable to each lease and a current
market rental with nil term for vacant space.
Debt covenants
31 Mar 2018
31 Mar 2017
Loan to Value Ratio
1
Covenant: ≤ 50%
34.1%
38.8%
EBIT / Interest and Financing Costs
Covenant: ≤ 1.75 x
3.1x
2.9x
Weighted Average Lease Term
2
Covenant: > 3.0 years
4.9 years
4.8 years
Capital Management – Stride Property Limited
Hedging:
•$100m of swaps terminated post balance date,
with average duration of 2.8 years and rate of
4.1%, cost $4.0m
•New $120m swaps entered into with average
duration of 5.2 years and rate of 2.8%
20
Bank Facility:
•$200m facility due FY20 and $200m facility
due FY22
•$92m of banking facility headroom as at
31 March 2018
•Bank debt refinancing planned for FY19

•Stride has made a strong start in
its first two years of operation
•Over time, seeking to establish a group
of sector-specific commercial property
products, with Stride co-investing
•Over the short to medium term, Stride
will look to use its balance sheet to
acquire assets that may ultimately be
used in the establishment of these
products
Execution of strategy across four ‘P’s:
Performance, People, Places, Product
Future
REIM platform established,
with growth prospects
Seek to leverage SIML’s
development capability
21

Formal Business –
Tim Storey
22

Stride Property Limited –
Resolution
23

24
That the Directors be authorised
to fix the remuneration of
PricewaterhouseCoopers as
auditor of Stride Property
Limited, for the ensuring year.
Resolution 1:
Auditor’s Remuneration
Stride Property Limited

Stride Investment Management Limited –
Resolutions
25

Stride Investment Management Limited
That the Directors be authorised
to fix the remuneration of
PricewaterhouseCoopers as
auditor of Stride Investment
Management Limited, for the
ensuring year.
26
Resolution 1:
Auditor’s Remuneration

27
That John Harvey be re-elected
as a Director of Stride Investment
Management Limited, pursuant
to clause 22.3 of Stride
Investment Management
Limited’s constitution.
Resolution 2:
Re-election of Director
Stride Investment Management Limited

General Business and Shareholder Questions
28

Important Notice:
The information in this presentation is an
overview and does not contain all information necessary to make an
investment decision.It is intended to constitute a summary of
certain information relating to the performance of Stride Property
Group for the year ended 31 March 2018. Please refer to Stride
Property Group’s Annual Report 2018 for further information in
relation to the year ended 31 March 2018. The information in this
presentation does not purport to be a complete description of
Stride Property Group. In making an investment decision, investors
must rely on their own examination of Stride Property Group,
including the merits and risks involved. Investors should consult with
their own legal, tax, business and/or financial advisors in connection
with any acquisition of securities.
No representation or warranty, express or implied, is made as to the
accuracy, adequacy or reliability of any statements, estimates or
opinions or other information contained in this presentation, any of
which may change without notice. To the maximum extent permitted
by law, each of Stride Property Limited, Stride Investment
Management Limited (together, the Stride Property Group) and their
respective directors, officers, employees, agents and advisers
disclaim all liability and responsibility (including without limitation
any liability arising from fault or negligence on the part of Stride
Property Group, its directors, officers, employees and agents) for
any direct or indirect loss or damage which may be suffered by any
recipient through use of or reliance on anything contained in, or
omitted from, this presentation.
This presentation is not a product disclosure statement or other
disclosure document.
Level 12, 34 Shortland Street
Auckland 1010, New Zealand
PO Box 6320, Wellesley Street
Auckland 1141, New Zealand
P+64 9 912 2690
Wstrideproperty.co.nz
Thank you
29