Ladies and gentlemen, thank you for holding. Welcome to the BWP Trust 2023 full year results briefing. Your lines will be muted during the briefing. However, you will have an opportunity to ask questions immediately afterwards. Instructions will be provided on how to do so at this time. I would now like to hand the call over to Managing Director of BWP Trust, Mr. Michael Wedgwood. Good morning, everyone, thanks for dialing into our full year results webcast. Before we start, I'd like to acknowledge that this meeting is being held on the traditional lands of the Whadjuk people of the Noongar Nation. I'd like to pay my respects to elders, past, present, and emerging. BWP Trust acknowledges the traditional owners of country throughout Australia. We've released to the ASX this morning our full year results announcement, our 2023 annual report, and the presentation slides, which we'll go through now before we take questions at the end. Andrew Ross, our Head of Property, and David Hawkins, our Head of Finance, are also here on the call and will be available to answer any specific questions at the end of the presentation. We start on slide six, which is the full year results at a glance, and that summarizes some of the outcomes from the last 12 months. Total income for the year ended June 30, 2023, was AUD 158 million, about 3% ahead of the prior comparable period. Portfolio rental growth represented the majority of that increase, with income from completed developments during the year, and losses of income from vacancies, while properties are being repositioned, pretty much offsetting each other for the year. Distributable profit for the full year was about AUD 114 million, slightly below the prior corresponding period. It included approximately AUD 3.9 million in capital profits, compared to AUD 2.8 million in the previous corresponding period. During the year, we had higher management fees payable because our valuations were high throughout the year and adjusted at year-end. That and higher funding debt funding costs were the main contributors as to why the capital profits released was a bit higher during the year. Full year distribution, AUD 0.1829 per unit, is in line with the prior corresponding period. NTA reduced about 3% from the prior corresponding period, and that's reflecting or mainly reflecting changes in property valuations at year-end, which we'll talk more about. The trust property portfolio generated 5% like-for-like rental growth on an annualized basis, that was as a result of increased quarterly CPI over the 12-month period, and the fact that about half of our leases are CPI linked and the other half are fixed. Portfolio cap rate increased at 30th of June 2023 to 5.38%, that was up from 5.05% at December, and a similar level at 30th of June 2022. That resulted in a AUD 77 million decrease in our property portfolio valuation at year-end. Portfolio WALE at year-end was 3.5 years. That's slightly lower than what it was at the half, as we, normally, comment on that it, you know, we, we are there because of our portfolio. A lot of the properties are in option periods with Bunnings or, you know, some are getting towards the end of, their first term. You, you, you just by definition, you end up in this place and, and we don't believe it, in itself, reflects the underlying risk in the portfolio because of the structure of, of, typical Bunnings leases. 10 market rent reviews were completed during the year. Talk a little bit more about those. Nine of them were Bunnings Warehouse properties. There were three options on Bunnings Warehouse properties exercised for the year at Balcatta, Artarmon and Belrose. At the year-end, there's 73 properties in the portfolio and about 97% occupancy. Gearing was about 16% and cost of debt at 30th of June, about 4%. At year-end, our hedge cover is about 57%. We have put in some hedging in the last six months, and we're continuing to watch that. At the moment, there's no benefit for us putting in more hedging given where swap rates are at. If we turn now to slide seven, I won't go through this in a lot of detail, I think it's all on the slide. We don't have Scope 1 emissions. We reported net zero Scope 2 emissions, and we're actually just in the process now of finalizing our Scope 3 emissions inventory, and when that's finalized, we'll talk more about that. We're continuing to buy green energy where appropriate, and also to install more solar on our properties, and also improve the energy efficiency of lighting on our properties, and where appropriate, replacing our air conditioning as well. That's putting us in a fairly good position when it comes to emissions, given that, you know, most emissions are for the account of our tenants. If we now turn to slide nine, and I won't really talk to slide nine, 10, or 11, which just summarizes our financials. We can take specific questions. The only comment I'd make is our other expenses, relative to last year are, are, are up a bit, and that's mainly due to increased land tax. There wasn't really anything else that was driving that increase in cost. If we now turn to slide 13, and on that slide, you can see that we've shown our like-for-like rental growth of 5%, which is quite a bit higher than it's been for a number of years, as, as you can see at the bottom of that chart. And that really reflects the inflation that's flowed through on a number of our leases during the year. On slide 14 excuse me, on slide 14, we show the outcomes of the nine Bunnings market rent reviews that were finalized during the period. The overall outcome of those reviews was a 2% increase for Hawthorn, Coburg, Pakenham, Caroline Springs, and Frankston. All those market rent reviews were all determined by independent valuers. The others were negotiated based on the available market evidence for each of those properties. As we've said a number of times, I mean, we don't look at individual property outcomes as an indicator of where the whole portfolio is at. You know, as it has been for a while, we think, you know, the portfolio rent is fairly close to market and, you know, we get very variations with individual stores, but overall, it's fairly consistent. On slide 15, we've, we've just shown the breakdown of our lease covenants. 85% of the rent comes from the Wesfarmers Group, and that's obviously mainly Bunnings, but also Officeworks. 3% is from the Commonwealth and Queensland Governments. With the Commonwealth Government has rented our Morley property and our Wollongong property, and the Queensland Government is renting our Cairns property. Well, pretty much the rest of the rent comes from national retailers and some automotive groups and one of the storage businesses. There's only a very small percentage of rent that's from other than national businesses. On slide 16, as we've shown, what we've shown for a number of years, we, we have again, shown the cap rate trends and, as we said at the half year, there, there, there hadn't been any transactions in the first six months, and it was the same in the second six months, there was new, no new, I guess, evidence to show on that slide. Bunnings Collingwood did transact in July 2023, and as far as we're aware, the actual details of that sale still haven't been disclosed. We're, we're not 100% sure where that got to. That property, I guess, had some specific attributes. It's very inner city, so it, it, you know, it has quite good zoning for, you know, longer term redevelopment, but it, but it, Bunnings does have a number of years of options on that property, so probably could be expected to be there for a while. You know, it, it, we expected it traded on a fairly tight cap rate. Slide 17 is a slide regarding our June 2023 property revaluation. I've already mentioned the cap rate movement. There were 12 independent valuations as part of that process and 61 internal valuations. Cap rates on two properties tightened, cap rates on 65 properties increased and cap rates on six properties stayed the same. Of the properties that increased, I mean, you know, generally they were, you know, between 25 basis points and 100 basis points increases, you know, typically regional properties showed more cap rate expansion than a number of our metro properties. The two properties where the cap rates tightened were Hervey Bay, which we're in the process of repositioning that property. It was independently valued, so the independent valuation took that into account, even though the CapEx hasn't yet been spent on that property. The other one was Joondalup, which has just had an option exercised on that property. On slide 18, we've actually shown the results of the independent valuations, and, and you can, you can see the, the, the movements in cap rates on that slide, and that's sort of indicative of what's happened across the, the rest of the portfolio. I mean, we can talk more about this in the questions, if, if necessary. I guess, you know, in a time when there's not a lot of new market evidence, the valuers have obviously taken into account the increased cost of funding for the, the buyers and, and any other evidence that they may have of, you know, where buyers' expectations are, are at. We, you know, we're comfortable where the portfolio valuation is for the moment, based on the information that's been taken into account. If we now turn to slide 20, we just show on that slide, you know, I guess, what we consider our core properties in the portfolio at the moment, and generally what's not in the area. I think properties that are, you know, being repositioned, res- repositioned or, or we know, Bunnings is about to vacate the property. On slide 21, as we normally do, we, we, we show the, you know, the lease expiry profile for the core portfolio. As it's been coming for a few years, you know, there is a couple of years when there are a number of expiries coming up and, as we've seen, explained before, they are linked to historical portfolio acquisitions. You get a number in the same period. Again, we don't view, you know, current lease expiries as being a good indicator of risk. It's very much based on individual properties and what's going on with individual properties. On slide 22 and 23, we have shown the core properties that are coming to the end of our current lease in the next three years. You know, we're not aware of any pending vacancies on that list that we haven't otherwise already disclosed. We have shown those properties that, that are getting to the end of their first term and will be entering their first option. We've also shown the properties which will be, you know, starting their second, second option. You know, on average, Bunnings typically stays at a property a lot longer than the initial term and generally a lot longer than the first or second term, or certainly that's sort of what we've experienced over time. I guess at the moment, given some of those properties are still a way off, getting to the point where Bunnings needs to indicate what it's doing, you know, we're, we're as confident as we can be about Bunnings' ongoing occupancy at those properties. On slide 24, 25, and 26, we've just again included the details of stores being upgraded. We have shown those details previously, I'm not gonna go back through them unless and you, you can ask questions. Coburg is expected to be completed this month. Lismore construction's underway and will be completed early in 2024, and we would expect Dubbo to be completed in late 2024. That the construction on that hasn't started. I think a builder's been appointed, but construction hasn't yet started. If we then go to slide 28, that's our current, I guess, list of properties that we're working through, where Bunnings has all either vacated or given some indication that it may vacate at the end of the current lease term. For Port Kennedy, we've we have now have a development approval to reposition that as a large format center, pre-leasing of that property is underway. We do have some tenants signed up, we're still working on a few more before we commit to the CapEx on that property. Belmont North, we're we're looking at a few things on that property at the moment. That... I mean, it's, it's got good zoning, we're just working through what, what's the best outcome from, for that property. Hervey Bay, we do have development approval for a large format center. We've got that property 100% pre-committed, we're just finalizing the construction costs-... at the moment, expect to appoint a builder, hopefully, this month. Noarlunga is new to the list. That's Bunnings property in Adelaide. Bunnings has very recently advised its intention not to exercise any further options in that property, and it's going to relocate to another property nearby. The current lease expires in September 2024. With, I mean, we're just in the initial processes at the moment of working out what the best use of that property is. It has quite flexible zoning. I mean, it's in quite a strong or quite a, you know, this, it's quite a strong, I guess, commercial area. We're just working through what, what we'll do with that property. Albany is leased to Bunnings until October next year, and it's, I mean, Bunnings has actually moved out, but they've put Tool Kit Depot in there for the moment. We're still working out what we'll do with that property longer term. Fountain Gate, Bunnings, current lease is until February 2025. They are looking to build a new store in the same precinct. The Fountain Gate property is one of our original properties and probably one of the better located properties in our portfolio. It's opposite the Westfield Shopping Centre at Fountain Gate, has very good visibility, very good access, and very flexible zoning, allowing this mixed-use development. I mean, as a, as an area and as a commercial area, it's evolved a lot in recent years. we've- we're going through a master planning process at the moment, you know, before we decide exactly what we do with that property. That's on the assumption that Bunnings, you know, will move at the end of its current lease. Northland, that's leased to Bunnings until August 2025. On that property, again, very well located. We are looking at, you know, medium and longer term uses for that property, which could include, hopefully at some point, a change in zoning. we're just continuing to work through that to, to work out what the best outcome. Wagga is leased to Bunnings until March 2026. We're aware Bunnings has another site, but as far as we're aware, they haven't started construction on that site. From our point of view, with our property, that part of Wagga is a pretty strong commercial area. Wagga is a very robust regional city. We would expect to be able to get a fairly good solution on that property, and we're just sort of working away on that, until we understand exactly what Bunnings is gonna do. The one property that's not on that slide anymore, it was on half year, is Wollongong. We've actually leased that property to, for five years to the Commonwealth Government, which has been a, a great outcome, because it hasn't required any capital expenditure from our, or any required capital expenditure for us. That's a incredibly well-located property, just very on the outskirts of the CBD, and Wollongong has good zoning. We're, you know, we're looking at, at the longer term for that property at the moment, and that as a, as part of that, we're looking to lodge a DA for mixed-use development on that site. We are actually also running an, an expression to interest campaign in the market at the moment for potential sale of that property if, if, you know, if, if it makes commercial sense. We've, we're sort of looking at all outcomes for that property, because it is one that we think has great potential either under BWP's ownership or someone else's ownership if, you know, if, if, if the value is right from our perspective. Slide 30, we just show our current debt facilities. Slide 31, we just show the debt maturity profile graphically. I mean, I've talked about hedging upfront. We sort of feel comfortable with our hedging at, at, at the moment. If there's any other questions on that, we'll take them at the end. The last slide is the outlook slide on slide 33. I mean, from a rent point of view, we feel like we're positioned pretty well at the moment with, as I said earlier, 85% of our rent from Wesfarmers, 3% from governments, and 11% so all very substantial national businesses. Operationally, we think the portfolio is in good shape. While there hasn't been any, or not, certainly not very many, Bunnings transactions, you know, certainly from what we understand, there's still underlying demand for Bunnings properties if they come up for sale. Even though there's certainly, you know, certainly more movement in some other property sectors, we, we're still fairly comfortable that, there is continues to be underlying demand for Bunnings properties. I think, you know, that will continue to, continue to support, you know, the underlying valuations of them over time, we believe. We've shown on that slide, the rent reviews coming up this year. Well, as, as it has been for a little while, our, you know, our primary focus is really on our existing properties, and, and that is, filling vacancies, progressing upgrades where we can, extending leases and, and obviously, doing the market rent reviews, as, as they come up. You know, as it has been for a while, that still has been where, where we can create more value than we have been able to, by buying properties on at times pretty tight yields. That being said, we, you know, we're continuing to look for properties that we think we can create value from. I'd say we're sort of in the very early stages of starting to see some more interesting opportunities, you know, starting to look like they're coming to market. You know, hopefully, we will see more of that this financial year. To finish this slide, in terms of our distribution for 2024, I mean, unless there's something major happens in the economy outside of our control, we'd expect the distribution to be similar to what we've paid this year, and we can use capital profits, if necessary, to support that distribution. That's all I wanted to say on the presentation. I'll hand back to the call organizer, and we'll take whatever questions that, that, that, that you have. Thank you. We will now begin the question and answer session. If you wish to ask a question, please press star one on your telephone for your name. If you wish to cancel your request, please press star two. First question comes from Lou Pirenc with Jarden. Please go ahead. Yes, thank you. Good morning. A few questions from me, if I may. I mean, just in your outlook statement, you kind of say the trust will be active in assessing and actioning any opportunities to grow the portfolio. Slightly different language from previously. Can you just talk about, you know, do you feel that with cap rates moving up, that, you know, there will be, or there could be more opportunities now than maybe a year ago or two years ago? Well, and, and, Lou, thanks for the question, and Andrew can comment on this as well. I, I mean, I, I, I think, I mean, we, we were certainly in a period when, you know, the, I think the, the weight of money was, was sort of driving outcomes. I mean, it's still, I guess a bit hard to, to get a very clear read on what will happen in the near term future. I mean, we're, we're just starting to see a bit more risk priced into a few things that you're seeing coming to market. I, I guess the comments are made off the back of that, as saying, well, you know, I guess when, when that starts to happen, you know, we may see some, some other, better opportunities than we've seen for a while. Andrew, you comment on that as well. Yeah. Lou, we are seeing some opportunities, and BWP is looking at a couple just at the moment. Yeah, I guess, the focus is on seeing whether or not we can acquire some properties. The ones we're looking at are adjoining our current Bunnings zoned properties. It kind of just makes sense for us to have a serious consideration for those opportunities. Great. Thank you. Then if I can follow up on page 14 with your market rent reviews, there's quite a few in the +10, -10 mark, which I imagine is linked to your caps and colors on, on the... Just want to get some sense of, you know, if, if there weren't those caps and collars, if, if the increases and declines would have been significantly different? Yes, they were. Lou, if you have a look at the footnotes that I've put down on the bottom of the table, you'll see, you know, the Coburg determination came in at a 13.4% increase in the passing rent, and so that was capped at 10. The Pakenham market rent review was independently determined at close to 22% increase in the rent, and so that was capped at 10%, and similarly at Caroline Springs, it was close to 14%, where it was capped by the 10%. Okay, great. No, sorry, I didn't see the footnote, actually, so, apologies for that. Then final question from me, just on, on the timing of your three current vacancies, are you currently expecting any rent from, from these in the next 12 months- 24 months or, or, or not? Um, At Port Kennedy. Port Kennedy, look, we think it'll probably take up to 12 months for us to develop that site, so it's closer to 12 months-15 months than no rent. Belmont North, yeah, it look, we haven't found a way forward on that one just yet, so I don't think it'll be in the next 12 months, but just unsure. We're looking at all our options there, Lou, and one of those options is releasing the existing property as it is. If we were to redevelop it, the time period of getting rent is gonna be longer, but if we can re-lease it right now, we've just closed a leasing campaign on that one, and we're considering our options there. We, we may lease the existing building in the next month or two, or we may not. The third one, we're. Hervey Bay. Hervey Bay. So we've reached an agreement in principle around moving forward with that one. We've got DA, it's probably gonna come online mid-2024. Great. Thank you. Thank you. Your next question comes from Simon Chan with Morgan Stanley. Please go ahead. Hi, good morning, everyone. Michael, the first question I've got for you, in the outlook slide, I noticed that there are a few unresolved market rent reviews, which is fine, but there are two from FY 2022. Can you talk a bit about what's holding those up? Because it's an awfully long time to be, you know, still in negotiations. Yeah, yeah. It's Andrew here. I'll, I'll jump in there. What, what we tend to do is, we, we follow the market rent reviews sequentially in date order, and those two, we have not progressed because their results are a function of previously agreed, or previously determined numbers. You know, Frankston, which we resolved in this half, talks to and provides evidence for the market rent review at Scoresby, and similarly, the Caroline Springs results assist with working out the value for Craigieburn. Craigieburn and Scoresby are the two, long-dated ones, and we are in advanced discussions with Bunnings on Scoresby, which could result in a negotiated outcome. The Craigieburn has been sent to determination, so that will be completed in this half. That one's clear. The other question I've got, how should we think about your average cost of debt for FY 2024? You've given us some hedging numbers there. My back of the envelope suggests about 4.3%-4.4%. Would that, would that be, you know, close to what you guys have in your budget? Based on the current swap rates, Simon, that's probably pretty close to where you think things will go. Once again, it's all subject to where the markets go to price in the next couple of months. Great. The final question I've got. In relation to those non-core assets or what you call alternative use, it looks like you guys have been making pretty good progress. Michael, you talked about Hervey Bay pretty much, you know, just need to appoint a builder and Port Kennedy gotten approval. What's the end game there for this buckle of assets? Is it developed to hold so that it becomes a core asset again? Ultimately, you guys will look to just turf these assets once, once, you know, construction contracts are locked in, the tenants are locked in, et cetera. Yes, Simon. Look, I mean, I guess, you know, it always depends. I mean, there are some pretty good properties on that list, and I guess, you know, we're sort of at the point where we don't really want to sell any property unless it, you know, makes really good commercial sense to do so. So, you know, for something like Hervey Bay, once that's done, that would be very saleable, but equally, it's actually going to be quite a strong large format center, which, you know, we probably want to keep in the portfolio. I, I think the way we, or way, the way we approach it when we, when we are aware that a property needs to be repositioned, I mean, we tend to look at, you know, various options about what, you know, what's the best use and what we can actually do in that location. You know, it does often include, you know, we ask the question of whether we either should be selling it now or, or after repositioning or just to keep it. Yeah, look, long-winded answer to your question. I, I think, you know, most of those properties. Well, we'd prefer to, to keep them in the portfolio. It It will depend, for some of them, what is the ultimate end use and whether that still fits, you know, within, within, within the BWP portfolio. Yeah, on average, we'd probably like to keep most of them. Great. That's all I've got this morning. Thanks, guys. Michael, all the best for the future. Yeah, thanks. Thank you. Your next question comes from Tom Bodor with UBS. Please go ahead. Good morning, Michael. I just had a question about the Bunnings upgrades. The leases there seem to be, on the three that you've got in the presentation, around your CPI, but capped at 2.5%. Is that going to be your standard new lease going forward, do you think, where you're spending money, or is it sort of down to the asset? Yeah, Tom, no, I, I think your second comment was that, was the correct one, in that it's very much, I guess, on a site-by-site basis, and, and from our point of view, takes into account, I, I guess, the, you know, the, the value outcome relative to, you know, what, what, what the other options were, or are, if, you know, if, if, if we don't upgrade the store and, and Bunnings chooses to, to, to leave. Certainly in our minds, you know, those, those outcomes on those properties were very specific to those properties. They don't, you know, at this point, that, that doesn't reflect what we think would happen across the rest of the portfolio. Yep. Okay, now that's, that's clear. Thank you. Also, just a question around the Bunnings rollout of, the Tool Kit Depot. Is that something you expect to sort of see on some of your sites to be complementary to the Bunnings offering, or is it pretty separate to the, the Bunnings strategy? Yeah, look, I mean, we've certainly. Well, as I mentioned, they are currently in one of our properties out in Albany in WA. We certainly do talk to them on other properties, particularly, those that sort of have a Bunnings and some other large format retail space. You know, from time to time, you know, we've, we have discussed on some locations, you know, whether they could be included with the Bunnings on a location. I, you know, again, I wouldn't say it's, yeah, well, certainly it's, it's not a, you know, not something that we would expect a major rollout of, but there, there certainly will be some locations where I think it would be of interest to, to, for Bunnings to, to potentially co-locate one or both of those brands with, with its Bunnings store. Okay, that's great. Thanks. Just a final one, you know, the capital profits to support the distribution, like, how comfortable are you? Like, how far would you be prepared to sort of do that? Is there a limit where at some point you're sort of less comfortable, or is it something you'll, you'll just try to keep that distribution flat sort of for the foreseeable future? Yeah, look, I, I, I think the, the, you know, the way to, to sort of answer the question is, I mean, we, we're, we're always, you know, modeling forward. Well, we, we sort of- we, we all, we have an, a rolling sort of five-year forecast, and that sort of guides us, you know, in terms of a lot of decisions we're, we're making, because, typically with, you know, p-property, you need to have a slightly longer timeframe, otherwise you're, you're not gonna see what's, you know, what the impacts are gonna be. You know, we're, we're comfortable with that, strategy w- you know, at, at the moment, looking forward, and, and it's, you know, it's really based on, on, you know, what, what goes on in the portfolio during the year. You, you do get a lot of movement, even in our portfolio, you're getting a lot of movement during the year, based on the timing of upgrades and, and, and timing of repositionings and things like that, because, you know, they affect the, or each one can affect the, the rental income by, you know, AUD 2 million or AUD 3 million. It's sort of, it is quite variable during the year, but we're, we are comfortable continuing to do that as required. Sure. Is it fair to say you would aim to not be sort of consistently doing it, say, over your five-year period, or you'd at least aim to get back to not requiring it at the end of your forecast window? Yeah. Yeah, I mean, we're all Well, I mean, certainly our, our portfolio rent, I mean, as you saw in the slides, I mean, that's, that's growing. You know, at the moment, I guess we're in this period where our valuations remain high, so therefore our management fee remains high. At the same time, we're in a rising, or have been in a rising interest rate environment. It's sort of, I guess it's been some specific circumstances this, or in this last year, that have resulted in a bit more capital profit being required. I guess we wouldn't necessarily expect the same situation going forward in that regard. Yeah, no, make sense. Yeah, the rest of it's really timing of, you know, a store or property repositioning through that, that affected. No, that's very clear. Thank you, and yeah, all the best for, for the next chapter in your journey. Yeah, thanks very much, Tom. Thank you. Your next question comes from Richard Jones with JP Morgan. Please go ahead. Oh, good day, Michael. I want to reiterate all the well wishes for you moving forward. Thank you. Yeah, good. Thanks for the comments on, on the CPI reviews and understand your answer to, to Tom's question. Just interested, I, I guess, in whether a 2.5% cap on, on CPI reviews is, is something that you'll do moving forward? Well, well, well, I guess, I mean, there's two aspects of it. I mean, one, I mean, at the moment, you know, and typically a new Bunnings property is sold with those lease terms in place. That, that's sort of the, you know, Bunnings current standard if, if you like. If you, if you're wanting to buy a new property, you really have to buy it with those terms in place. You know, the Bunnings lease terms do evolve over time, depending on, you know, what they fear, the issues they want to deal with. In terms of the rest of our portfolio, I mean, typically, you know, we're looking to, to retain the lease terms that we currently have. You know, that, that, that, that, that remains our preference. As I said earlier, with those, you know, properties that, that, the, the details are on the slide, you know, they're the very specific sort of outcomes for those properties. I mean, two of them are, are regional properties. So, you know, we were looking at a, you know, what was the best outcome for those very specific properties in particular, you know, in doing an upgrade. We were, for those properties, you know, prepared to do, to do it on those terms because we overall, we thought that was the better outcome at those properties. It's certainly not our preference to, to change our lease terms to those sort of terms. May-maybe you can clarify why you did it with Coburg? It was a nominal amount that you spent, yet you still put the cap in on the new lease, which seems much more advantageous for the tenant than you guys. Yeah. Yeah, look, I, I mean, on that one, there wasn't... I think, you know, it was just, I guess part of the overall agreement on that property. I mean, even though that one's obviously a metro property, yeah, you know, it was just the circumstances at the time, and again, it did make sense to, to, to, to do it on that basis for that property. Okay. Can you clarify how many of the CPI reviews have this 2.5% cap in them now? Do you know that one, Andrew? I don't think we've, I don't think we've got another one in there. No. These are the first three. Yeah, we haven't, we've, we haven't, we haven't purchased a property with, with it in the lease. These are the only ones we've done. The rest are, are, you know, uncapped CPI or 3% fixed. Other than Hawthorn, that's got a 7% cap on the CPI. Yeah. Okay. Just if I, if I look at the market rent reviews, the independent valuer results were much stronger than the negotiated ones. Coburg, Pakenham, Caroline Springs, all up 10%, Frankston up 6%, Hawthorn down 2%. If we look at the agreed ones, you've got Wagga Flat, Dubbo down 10%, Geraldton down 3%, and Greenacre down 3%. Just interested in, in your thoughts on, you know, the, the significant disparity between those? Yeah, well, with the independent, so with the ones that went to determination, we, we felt the rents were much stronger than the 10%, so that's why we've taken it to determination. In relation to the negotiated ones, we didn't have that level of confidence, and it was a potential that they could have gone below what we actually agreed. We looked at the risk of that, looked at the evidence, and felt that we should negotiate outcomes. Yeah. three of those four that you mentioned, Richard, are regional stores and Greenacre, Greenacre was probably a function of the starting rent, was it Andrew? Yeah, correct. Yeah. You know, even in metro areas, they can have different starting rents and then whatever's else is going on around them, you can get that adjustment, at the market rent re-review, and Pakenham is probably, was an example of that, where it started at a relatively lower starting rent. There was a catch up. Yep. Okay, fair enough. Thank you. Thanks, Richard. Thank you. Your next question comes from Edward Day with Moelis Australia. Please go ahead. ... Good morning, Michael and team. Michael, congratulations on the retirement. Just a couple of quick ones from me. Just on your lease expiry profile, obviously, you know, FY 2026 and 2027 step up a little bit. Can you just run through the mechanisms of those options? Firstly, you know, are there market rent reviews associated with all of those expiries? Within the lease, is there any scope for the terms of the lease to change in that extended option period? To the last point, no. They're, they're, they're all existing leases, so the lease terms stay the same. They all have a market rent review at the end of the current period. Some, some of those properties coming up have a 10-year option, and, and that's, that was like a, a historical transaction that was done a number of years ago with Bunnings, where there was a lease extension at the time, and a 10-year option added on a number of properties. There's quite a few. I mean, some of those have already started coming up, like Balcatta, in WA, it's just had a 10-year option exercised, and so has Southport on the Gold Coast. It's, and you can, you can see on those two tables which ones relate to that. Y-yeah. No, they're all, they're all at, coming to the end of a current lease term, and they've all got options, either 10 or five-year options, and they'll all, I think require a market rent review, won't they? Yes, yes, they, they do. I mean, some-sometimes on newer leases, you, you know, you, you... Was, well, on, on Bunnings' current lease terms, they have a, tend to have a market rent review every 12 years, but they have options every six years. That, you know, that's, that, that is a change in their standard lease terms, but I, I think we don't have any of those coming up. Yeah, no. Yeah. The one thing that I would add is that the properties that have got 10-year options like Southport, Tuggeranong, Cannon Hill, Nunawading, Morley, and Morayfield, they have a market rent review on the exercise of the option, but they also have a market rent review in five years' time, mid that option period. Okay, thank you. Just with works to be done at, at some of those repositioning assets, are you able to give an indication of the CapEx you're planning on deploying in FY 2024? Yes. We're just getting to that slide to talk through that. Port Macquarie could be up to AUD 15 million. Hervey Bay, maybe around AUD 20 million. That's probably only two for FY 2024 at this stage. The rest will be in FY 2025 or later, and we haven't reached a way forward on each of those, so I'd be reluctant to give you any sort of numbers on that. Yeah. Okay. Thanks for that. Thanks, Ed. Thank you. There are no further questions at this time. I'll now hand back to Michael Wedgwood for closing remarks. Okay. Thank you. Thanks, everybody, for participating in the call. I think we're, we seem to have been very early in the, in the cycle this year. There seems to be a bit of a gap until the next REIT reports. Thanks for participating in the call, and obviously, if there's any follow-up questions, you know, we're happy to, to, to, to, you know, for you to call them, and we'll deal with them if you have them. Other than that, I hope the rest of the reporting season goes well for everybody. We will end the call on that note. That does conclude our conference for today. Thank you for participating. You may now disconnect.