Investor Presentaiton

Australian Industrial Market Brisbane FRASERS LOGISTICS & COMMERCIAL TRUST ◆ Supply: During the March quarter, two developments were completed in Brisbane adding 12,800 of GLA to the market. Over the last 12 months, development activity in Brisbane has exceeded the 10-year average, with 378,605 sqm of new stock being added to the market. The largest completion during the quarter was a 7,000 sqm warehouse at 498 Progress Road, Wacol developed by Garda Capital Group. The supply pipeline remains relatively strong with 11 projects under construction, totalling 205,450 sqm which are expected to complete in 2021 and 2022. Demand: Tenant demand for industrial space in Brisbane has remained in line with the historic 10-year quarterly average. During the March quarter Brisbane recorded a gross take-up of 117,994 sqm. 75% the new leases were concentrated in the South with the remaining 25% in the Trade Coast. The largest transaction of the quarter was a 19,650 sqm lease to Eureka Street Furniture at 33 Iris Place, Acacia Ridge. Rents: Rental rates remained relatively stable across Brisbane over 1Q21. The only market to record rental growth over the previous 12 months was the Southern industrial precinct. Face rents increase 0.9% to A$111/sqm net. Incentives in Brisbane South have remained stable at 20% for prime industrial assets however incentives are expected to increase as new speculative developments reach completion. ◆ Vacancy: Vacancy levels in Brisbane have increased in 1Q21 as a result of speculative developments reaching completion. As at March 2021, the level of available industrial space is approximately 612,732 sqm. However, vacancy rates in Brisbane are expected to increase over the next 12 months as new speculative stock is completed. ('000 sqm) 450 400 350 300 250 200 150 100 50 0 Annualised as at 1Q21 Brisbane Industrial Total Supply (A$/sqm/yr) 130 Brisbane Industrial Prime Grade Net Face Rents $120 $120 $119 $118 $117 120 $115 $115 $116 $112 $110 110 100 1Q12 1Q13 1Q14 1Q15 1Q16 1Q17 1Q18 1Q19 1Q20 1Q21 Completed 10-year annual average 1Q12 1Q13 1Q14 1Q15 1Q16 1Q17 1Q18 1Q19 1Q20 1Q21 Sources: Jones Lang LaSalle Real Estate Intelligence Service - Brisbane Industrial Final Data 1Q21; Jones Lang LaSalle Real Estate Intelligence Service - Brisbane Industrial Snapshot 1Q21; Jones Lang LaSalle Real Estate Data Solution - Brisbane Construction Projects from Q2 2011 to 1Q21; Knight Frank Research - National Industrial March 2021. 35 35

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