Financial effects of the acquisition of Tembisa Mega Mart and Old Mutual and withdrawal of cautionary Delta Property Fund Limited (Incorporated in the Republic of South Africa) (Registration number 2002/005129/06) Share code: DLT ISIN: ZAE000172052 ("Delta" or “the Company”) REIT status approved FINANCIAL EFFECTS OF THE ACQUISITION OF TEMBISA MEGA MART AND OLD MUTUAL AND WITHDRAWAL OF CAUTIONARY 1.1 Introduction Holders of Delta linked units (“Delta Linked Unitholders”) are referred to the announcements released on SENS by the Company on 26 March 2014 and 22 April 2014 (“Cautionary Announcements”) relating to the acquisition of the turnkey development of the letting enterprise and property commonly known as Tembisa Mega Mart and the acquisition of the letting enterprises and properties commonly known as: OMC Durban and the Marine, respectively (collectively, “the Acquisitions”). 1.2 Forecast financial effects of the Acquisitions The forecast financial effects of the Acquisitions (“Forecasts”), including the assumptions on which they are based and the financial information from which they are prepared, are the responsibility of the board of directors of Delta. The Forecasts have not been reviewed or reported on by the independent reporting accountants. The Forecasts presented in the tables below have been prepared in accordance with Delta’s accounting policies and in compliance with International Financial Reporting Standards. The Forecasts have been prepared with effect from 1 September 2014 (“the Effective Date”), and include forecast results for the 6 months ending 28 February 2015 and the 12 months ending 28 February 2016. The effects of the Acquisitions on Delta’s net asset value and net tangible asset value per Delta linked unit are not material and accordingly have not been disclosed. Summarised forecast in respect of the acquisition of Tembisa Mega Mart: Forecast Forecast 6 months ending 12 months ending 28 February 2015 28 February 2016 R R Rental income 12 835 577 27 410 655 Straight-line rental income accrual 2 836 726 3 934 610 Total revenue 15 672 302 31 345 265 Net operating profit before finance charges 12 918 690 25 606 546 Net operating profit after finance charges 7 982 139 15 733 444 Net profit after tax 2 836 726 3 934 610 Distributable earnings 5 145 413 11 798 833 attributable to linked unitholders Notes: 1. The forecast information for the 6 months ending 28 February 2015 has been calculated from the anticipated effective date of the acquisition being 1 September 2014. 2. Contracted revenue is based on existing lease agreements. Uncontracted revenue in respect of this property amounts to 0% for both the years ending 28 February 2015 and 29 February 2016. 3. Net operating profit after finance charges includes asset management fees, property management fees and transaction costs. 4. Distributable income excludes any antecedent interest from the issue of new linked units. Summarised forecast in respect of the acquisition of OMC Durban: Forecast Forecast 6 months ending 12 months ending 28 February 2015 29 February 2016 R R Rental income 25 641 427 49 924 242 Straight-line rental income accrual (29 133) 1 287 139 Total revenue 25 612 293 51 211 381 Net operating profit before finance charges 15 104 335 28 448 412 Net operating profit after finance charges 9 823 536 17 886 814 Net profit after tax (29 133) 1 287 139 Distributable earnings 9 852 670 16 599 674 attributable to linked Forecast Forecast 6 months ending 12 months ending 28 February 2015 29 February 2016 R R unitholders Notes: 1. The forecast information for the 6 months ending 28 February 2015 has been calculated from the anticipated effective date of the acquisition being 1 September 2014. 2. Contracted revenue is based on existing lease agreements. Uncontracted revenue in respect of this property amounts to 0% for the year ending 28 February 2015 and 7% for the year ending 29 February 2016. 3. Net operating profit after finance charges includes asset management fees, property management fees and transaction costs. 4. Distributable income excludes any antecedent interest from the issue of new linked units. Summarised forecast in respect of the acquisition of the Marine: Forecast Forecast 6 months ending 12 months ending 28 February 2015 29 February 2016 R R Rental income 16 262 296 31 084 805 Straight-line rental income accrual (422 533) 598 304 Total revenue 15 839 762 31 683 109 Net operating profit before finance charges 10 596 611 20 433 679 Net operating profit after finance charges 6 901 548 13 043 553 Net profit after tax (422 533) 598 304 Distributable earnings 7 324 081 12 445 249 attributable to linked unitholders Notes: 1. The forecast information for the 6 months ending 28 February 2015 has been calculated from the anticipated effective date of the acquisition, 1 September 2014. 2. Contracted revenue is based on existing lease agreements. Uncontracted revenue in respect of this property amounts to 0% for the year ending 28 February 2015 and 9% for the year ending 29 February 2016. 3. Net operating profit after finance charges includes asset management fees, property management fees and transaction costs. 4. Distributable income excludes any antecedent interest from the issue of new linked units. Summarised consolidated forecast in respect of the Acquisitions: Forecast Forecast 12 months ending 12 months ending 28 February 2015 29 February 2016 R R Rental income 54 739 299 108 419 701 Straight-line rental income accrual 2 385 059 5 820 054 Total revenue 57 124 358 114 239 755 Net operating profit before finance charges 38 619 637 74 488 637 Net operating profit after finance charges 24 707 223 46 663 810 Net profit after tax 2 385 059 5 820 054 Distributable earnings 22 322 164 40 843 757 attributable to linked unitholders Notes: 1. The forecast information for the 6 months ending 28 February 2015 has been calculated from the anticipated effective date of the Acquisitions being 1 September 2014. 2. Contracted revenue is based on existing lease agreements. Uncontracted revenue in respect of this property amounts to 0% for the year ending 28 February 2015 and 6% for the year ending 29 February 2016. 3. Net operating profit after finance charges includes asset management fees, property management fees and transaction costs. 4. Distributable income excludes any antecedent interest from the issue of new linked units. 1.3 Withdrawal of the cautionary Having regard to the information set out above, the Cautionary Announcements in respect of the Forecasts are hereby withdrawn. 4 June 2014 Johannesburg Investment bank and sponsor Nedbank Capital Date: 04/06/2014 11:30:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. 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