GMT Distribution Payment

Level 2, 18 Viaduct Harbour Avenue, Auckland | PO Box 90940, Victoria Street West, Auckland 1142
Tel +64 9 375 6060 | www.goodman.com/nz

nzx release+
GMT Distribution Payment
Date
21 March 2019
Release
Immediate

Further to the announcement of 22 February 2019, Goodman (NZ) Limited, the
Manager of Goodman Property Trust, is pleased to advise the third quarter distribution,
for the year ending 31 March 2019, will be paid to Unitholders today.
For further information please contact:
Andy Eakin
Chief Financial Officer
Goodman (NZ) Limited
(09) 375 6077
(021) 305 316

About Goodman Property Trust:
GMT is an externally managed unit trust, listed on the NZX. It has a market capitalisation of around $2.2 billion, ranking it in
the top 20 of all listed investment vehicles. The Manager of the Trust is a subsidiary of the ASX listed Goodman Group,
Goodman Group is also the Trust’s largest investor with a cornerstone unitholding of 21%.
GMT is New Zealand’s leading industrial space provider. It has a substantial property portfolio, with a value of $2.6 billion.
The Trust holds an investment grade credit rating of BBB from Standard & Poor’s.

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GoodResults+
Goodman Property Trust Newsletter
MARCH 2019 | ISSUE 9
Positive for business
Auckland’s continued growth is positive for business with many Goodman
customers extending their property requirements, contributing to the increasing
demand for well-located and operationally efficient logistics space.
Big Chill Distribution is the latest customer to take
advantage of its expansion rights and is extending
its coolstore facility at Highbrook Business Park in
Auckland’s East Tamaki.
John Dakin, Chief Executive Officer of
Goodman (NZ) Limited said, “Big Chill has been
an important customer at Highbrook for more
than 10 years. This was the second coolstore we
developed at this estate for the specialist freight
company and now we are extending it to facilitate
their continued growth.”
The development will add a further 5,200 sqm
of space to the existing 7,866 sqm facility. The
project, which has a total cost of $13.4 million, is
expected to complete in December 2019 with the
customer extending its lease until 2034. It adds
to the $111.7 million of work currently in progress
at Highbrook, meaning the 107-hectare business
park is now around 90% developed.
John Dakin said, “Our development volumes
have been at record levels in recent years
with Goodman undertaking a combination of
design-build and build-to-lease projects to
meet customer demand. It reflects the positive
dynamics of the Auckland industrial market, where
there is an acute shortage of high-quality and well
located industrial space.”
Other customers from within the portfolio are also
signalling the need for additional space. Some,
like Big Chill, have existing expansion options.
John Dakin said, “We expect to maintain a very
busy development programme over the next
few years with potential demand for another
60,000 sqm of industrial space from within the
portfolio. These customers are already at capacity
and looking to extend their relationship with
tailored property solutions.”
Highbrook is now home to
more than 100 companies,
employing a workforce
of more than 5,000.
The projects developed on a build to lease basis
at Highbrook are proving equally successful.
The Parade Multi-units and the Gateway
Warehouses that completed in January 2019
added 28,290 sqm of space to the estate. With
12 of the 14 facilities already leased, Highbrook
now has an occupancy rate of almost 98% and
a weighted lease term of more than five years.
The two development projects have attracted
a range of new businesses, some of the largest
being:
+ FDM Warehousing + Premium Apparel
+ Heartland Bank + Jost NZ
DHL Supply Chain has leased the largest of
the Gateway Warehouses, meaning this global
logistics specialist now occupies three facilities
in the portfolio, encompassing more than
45,000 sqm of rentable area.
|
Big Chill Distribution, Highbrook Business Park
Parade Multi-units, Highbrook Business Park |
Big Chill, office areas
|

Record portfolio revaluation
Draft valuation reports from independent valuers indicate that Goodman’s
property portfolio will record an annual gain of approximately $185 million
or around 7.6% at 31 March 2019.
The preliminary result means the portfolio is
expected to have a value of over $2.6 billion, and
be 99% invested in the Auckland industrial sector,
at its year-end balance date.
The market capitalisation rate across the portfolio
has strengthened 28 basis points to 5.8% and
market rentals have increased 5%, on a like for
like basis, from the previous year.
John Dakin said, “Investor demand for high
quality industrial property and positive market
fundamentals, characterised by low vacancy and
strong rental growth, are reflected in this record
revaluation.”
New development projects have made a
significant contribution to the overall gain.
The 10 projects that were included reflected
an average uplift of more than 14% on the total
development cost.
The revaluation is expected to add 14 cents per
unit to GMT’s net tangible asset backing, which
was 138.9 cents per unit at 31 March 2018.
The strong market dynamics reflected in the
valuations are also apparent in the Trust’s
portfolio metrics; occupancy is over 97%, rental
growth is accelerating, and development volumes
remain elevated with around $160 million of new
projects announced this financial year.
John Dakin said, “With very few expiries and
limited vacancy there has been just 50,000 sqm
of new leasing over the last 12 months. This
positive leasing profile is contributing to high
retention rates and strong rental growth across
the portfolio.”
The largest of the new leases were:
+ DSL Logistics renewing its lease over
3,000 sqm of warehouse and office space
at Westney Industry Park in Mangere for a
further six years.
+ Performance textile specialist, W Wiggins,
signing a six year lease over 4,000 sqm of
space at M20 Business Park in Wiri.
+ A new three-year lease to K&S Freighters
over 5,847 sqm of warehouse space at
Highbrook Business Park.
Key portfolio
metrics
$2.6 billion
Property Portfolio
99
%

Auckland Industrial
97
%

Property Occupancy
5.2
years

Weighted Lease Term
$160 million
Development Projects
|
Recently completed Gateway Warehouses, Highbrook Business Park
GoodResults+
Goodman Property Trust Newsletter
MARCH 2019 | ISSUE 9 | Page 2

Buying and selling
Goodman has been extensively
repositioned over the last five years
with developments and asset sales
focusing investment in the Auckland
industrial market. Recent transactions
have continued to refine the portfolio,
positioning Goodman for long-term
sustainable growth.
The purchase of the Foodstuffs Distribution
Centre at Roma Road in Mt Roskill for $93 million
was the first of two strategic acquisitions made
this financial year.
It was followed in December 2018 with the
conditional acquisition of three adjoining sites
on Favona Road in Mangere for $29 million.
The seven-hectare property is predominantly
leased to T&G Global Limited and operates
as a market garden. It features a 2,279 sqm
warehouse and 41,790 sqm glasshouse, together
with associated office and cool store space.
Leased until June 2023, this property offers
longer term opportunity with the potential to
develop 30,000 sqm of new warehouse space.
Providing direct access to SH20 and easy
connectivity with the CBD, port and airport,
the location is ideal for logistics operators.
Both purchases share the same value-add
characteristics, with older style facilities on
an under-utilised site.
John Dakin said, “$350 million of sales this
year has created significant balance sheet
capacity for future investment and development
opportunities.”
The sales include:
+ Goodman’s interest in the joint venture entity
that owned the VXV office portfolio in the
Wynyard Quarter. The Trust’s 51% interest
reflected a sale price of $323.85 million.
+ The sale of the commercial property at
614-616 Great South Road, Greenlane
for $11.6 million.
+ The unconditional sale of the Concourse
in Henderson for $35 million.
The most recent of the sales was the Concourse,
an industrial facility adjoining SH16. Owned since
2016, the property has been sold to local fund
manager Stride.
John Dakin said, “We’ve added significant
value since acquiring the asset, reconfiguring
the layout, creating additional yard space and
Favona Road acquisition, Mangere
|
GoodResults+
Goodman Property Trust Newsletter
MARCH 2019 | ISSUE 9 | Page 3
securing new leases. It was a compelling offer
and rather than complete the development of this
property, we’ll be reinvesting in new opportunities
elsewhere in Auckland.”
The sales will reduce Goodman’s forecast loan
to value ratio to around 20% at 31 March 2019.
“ While we are continually
investing in Goodman’s
development programme,
we are also looking at strategic
acquisitions that complement
the portfolio. With limited
greenfield sites available across
Auckland, this includes securing
properties that offer a future
development pipeline.”
John Dakin — Chief Executive Officer

Disclaimer: This document has been prepared by Goodman (NZ) Limited as
manager of Goodman Property Trust. The information in this document is general
information only. It is not intended as investment or financial advice and must not
be relied upon as such. You should obtain independent professional advice prior to
making any decision relating to your investment or financial needs. This document
is not an offer or invitation for subscription or purchase of securities or other financial
products. Past performance is no indication of future performance. All values are
expressed in New Zealand currency unless otherwise stated. March 2019.
The Trust’s website www.goodman.com/nz
enables Unitholders and Bondholders to view
information about their investment, download
investor forms, check current prices and
view publications and announcements.
People and Community
Highbrook
Fun Run
To assist in the marketing of its
new developments, Goodman has
employed an architectural model
maker to bring plans and technical
drawings to life.
Jason Gillard is a young man with a passion
for model making who has been creating scale
versions of GMT’s new developments since
July 2018. The models are a valuable marketing
tool that allow customers to visualise the
completed building and even space plan their
facility, months before it is built.
Jason has completed two contrasting projects,
an 8,000 sqm warehouse at Savill Link in
Otahuhu and two of the new Parade Multi-units
at Highbrook Business Park. The attention to
detail is outstanding, reproducing the features of
each building in miniature. It’s a skill Jason has
developed over time, learning the techniques with
residential models he built earlier for family.
Regular site visits with Goodman’s Project
Managers have helped him interpret complex
plans and further refine his model making skills.
Working part-time from his home workshop, he
uses a variety of materials including cardboard,
aluminium and plastic. Depending on complexity,
projects take eight to twelve weeks to complete.
Each model also includes Jason’s trademark
feature – a removable roof that lets you see inside.
Goodman was introduced to Jason through
Poly-emp, an employment & advisory service for
people with learning difficulties such as autism.
Goodman is privileged to have him as part of
the team and Jason is justifiably proud of what
he is achieving.
Learn more about Jason Gillard at attitudelive.com
Search: Jason’s miniature houses
Sponsored by Goodman and
other local businesses, the annual
Waipuna Conference Suites Fun
Run held on February 20 was
another great success.
More than 550 participants ran or walked
the 1km/5km/10km course through the
park and reserve areas that surround
the estate.
The well-run event was organised by the
Highbrook Rotary Club with sponsorship
from customers such as Altus, ANZ, BNZ,
CourierPost, Chandler Macleod, KiwiBank,
OfficeMax, Quest, RSM, Waipuna
Conference Suites and Wynyard Wood.
The $33,000 raised will be distributed by
Rotary to the Middlemore Foundation and
other local charities.
| Prize giving ceremony
|
Goodman team members completing the fun run.
|
Goodman staff viewing the Savill Link Warehouse model.
GoodResults+
Goodman Property Trust Newsletter
MARCH 2019 | ISSUE 9 | Page 4
|
Jason Gillard, with the model of the Parade Multi-units.
|
Attention to detail and accuracy are outstanding.

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Level 2, 18 Viaduct Harbour Avenue, Auckland | PO Box 90940, Victoria Street West, Auckland 1142
Tel +64 9 375 6060 | www.goodman.com/nz



21 March 2019

[Unitholder Name]
[Address 1]
[Address 2]
[Address 3]
[Address 4]

Dear Unitholder

GOODMAN PROPERTY TRUST (“GMT” and “Trust”)
Goodman (NZ) Limited, the manager of GMT, is pleased to advise Unitholders that
the third quarter distribution, for the period ended 31 December 2018, has now been
paid.
The distribution included 1.6625 cents per unit paid in cash with an additional 0.2659
cents per unit in imputation credits.
If you have any questions about your distribution payment please contact our
registrar, Computershare Investor Services. The telephone number is 0800 359 999
for calls originating within New Zealand or +64 9 488 8777 for international enquiries.
Unitholder newsletter
Enclosed with the distribution notice is the latest goodresults newsletter. I encourage
you to read it to learn more about the Trust’s development programme and recent
transactional activity. The report also includes a summary of the preliminary valuation
result, with an annual gain of $185 million forecast for 31 March 2019.
Yours faithfully,

Keith Smith
Chairman