Industrial Fund – Confirmation of additional property

NZX RELEASE 8 March 2018 INDUSTRIAL FUND - CONFIRMATION OF ADDITIONAL PROPERTY FOR INITIAL PORTFOLIO Augusta is pleased to advise that it has now successfully concluded negotiations on the final property to be included in the initial portfolio for the Augusta Industrial Fund. An unconditional agreement has now been entered into to acquire 20 Paisley Place, Mt Wellington, Auckland for a purchase price of $25,384,615 with settlement to occur on 31 May 2018. This purchase price represents a net initial yield of 6.50%. The property has the following key features: o Gross land area of 13,630 m2 o Net lettable area of 7,877 m2 o 6,221 m2 of warehouse o 1,146 m2 of canopies o 508 m2 of offices. It is currently 100% leased to Americold NZ Ltd, expiring on 30 November 2019. From 1 December 2019, Icepak Limited, a subsidiary of Hall's Group, have agreed to lease the property on a new 12 year triple net lease. Hall's Group Limited have guaranteed the lease obligations. Icepak is a storage and logistics business for primary producers and manufacturers specialising in dairy, horticulture, pet food, edible meats, fish, honey, pharmaceuticals, retail storage and distribution. It currently operates across 8 sites in Auckland, Waharoa (2 stores), Oringi, Wanganui, Longburn, Feilding and Christchurch. The Hall's Group has been in business for over 40 years and operates a transport and logistics business across New Zealand primarily focused on refrigerated transport. The successful negotiation of this fourth property adds to the existing initial portfolio of Brick Street, Henderson, 862 Great South Road, Penrose and The Hub, Seaview, Wellington. Together that initial portfolio will have the following key features: o A WALE of 8.7 years; o Occupancy of 100%; o A diversified mix of 15 tenants; and o A 60% weighting to the Auckland industrial market. The capital raising for the Augusta Industrial Fund will now seek to initially raise $75 million. This amount is fully underwritten with Augusta underwriting $35 million and committing to hold a 10% stake in the Augusta Industrial Fund for the long term. A product disclosure statement for the fund is currently being prepared and is expected to be registered prior to, or soon after Easter. For further information, contact: Mark Francis Guy French-Wright Managing Director Chief Operating Officer End CA:00315283 For:AUG Type:TRANSACT Time:2018-03-08 13:56:12