Diversified property portfolio Kermadec intends to maintain a diversified portfolio of properties in terms of types of building, tenant and location, while maintaining a particular focus on properties situated in the key Auckland market.

Quality and stability of income The portfolio of properties has an income stream that is underpinned by a range of leases to a variety of quality tenants, including Lollipops Educare Limited, Wilson Parking New Zealand Limited and Brookfields Partners. The current portfolio of Properties has an overall weighted average lease term of 5.9 years.

Access to future property acquisition opportunities on a preferential basis The Company has Rights of First Refusal to acquire non-residential New Zealand property that the Augusta Group wishes to sell. These arrangements provide the Company with the right, but not the obligation, to purchase properties offered under these Rights of First Refusal, and will thereby provide the Company with access to an ongoing pipeline of property acquisition opportunities. Any purchase decision made under these Rights of First Refusal will be made by the Independent Directors on the basis of valuation and other external advice.

Board and Corporate Governance The Board comprises three Directors, each of whom has relevant commercial experience. Mr Peter Wilson (Chairman) and Mr John Loughlin are Independent Directors for the purposes of the NZSX Listing Rules. Mr Mark Francis is a representative of the Manager. The profiles of each of these Directors are set out in "Our People"� - Director Profiles.

The Board has overall responsibility for the strategic direction and oversight of the management of the Company for the benefit of Shareholders.

The Board has adopted a comprehensive set of corporate governance policies and practices designed to promote the responsible management and conduct of the Company.