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It is great to see the steady, controlled growth of our business and people. Knowing we have the right people to deliver, I have absolute confidence in the business’s ability to provide quality products and outcomes to meet our client’s expectations.

Property NSW recently announced St Hilliers as the successful proponent to develop a mixed-use precinct in Gosford on the NSW Central Coast. The first stage will comprise a circa $50 million preleased commercial office building and house more than 300 NSW Department of Finance, Service and Innovation personnel.

The site has enormous potential to help reshape the Gosford waterfront precinct and allows us to provide subsequent stages of residential apartments and mixed-use retail offerings on the balance of the site. The project will be a landmark development not only for the Gosford region, but also for the NSW Government, and we look forward to a prosperous partnership with Property NSW.

The successful acquisition of the Gosford site follows our recent accomplishments at the Thornton Central Precinct in Penrith and the successful completion of the Atelier Development in Canberra.

Thornton’s multi-stage development has been progressing well since early 2015 with residents of Stage 1 now enjoying all the benefits Thornton has to offer with three more stages, including a new $30 million

Quest Hotel, all on track to reach their target completion dates.

The recent addition of Quest Hotel will see a 115 key apartment hotel constructed within the Thornton precinct to meet the growing need for accommodation facilities in Penrith.

Our construction and civil infrastructure teams have performed above and beyond over the past six months. Over $100 million in new projects has been awarded to St Hilliers since January throughout the country for clients such as the Department of Defence, Airservices Australia, Education Departments, Sydney Water and local regional councils.

Our push into infrastructure affiliated projects is growing in momentum and includes the commencement of a new solar project in Collinsville, Queensland.

With 97% of our business procured through repeat clients, this is testament to our ability to consistently deliver a diverse range of projects, to a high standard and exceeding our clients’ needs around the country.

We have a busy time ahead for us, yet true to the spirit of the team at St Hilliers, we have absolute certainty in delivering these projects to a high standard to maintain and build upon our current relationships with our stakeholders.

Tim CaseyExecutive Chairman

ST HILLIERS NEWSLETTER July 2017

re:view SnapshotST HILLIERS WINS MAJOR DEVELOPMENT PROJECT FOR GOSFORD

MAJOR DEFENCE CONTRACTS ON THE RISE

GROWTH IN CIVIL AND INFRASTRUCTURE CAPABILITIES

SIGNATURE ATELIER DEVELOPMENT NOW COMPLETE

QUEST APARTMENTS

EDUCATION PROJECTS CONTINUE

THORNTON UPDATE

A Message from Tim Casey2017-18 is shaping up to be yet another exceptional year for St Hilliers on all fronts of the business as we continue to acquire Government initiated projects in property development, construction and civil infrastructure, further diversifying our capabilities in these sectors.

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Quest Apartments Construction Progressing Growth in Civil and Infrastructure Capabilities

St Hilliers Wins Major Development Project for Gosford

Construction is now underway on the new $30 million 115-key Quest Apartment Hotel in the heart of Penrith to meet the need for accommodation facilities in the region, with 1.3 million annual visitors expected to double by 2025.

The development will form part of the Thornton residential development, and will include a mix of studio and one bedroom configurations over seven levels along with conference and business facilities, a gym and a café.

Situated adjacent to public transport and within a 5-minute walk to the city centre, the hotel is ideally positioned to give visitors access to retail, dining and entertainment right at their fingertips.

Quest Apartment Hotels will operate the new building under a 15-year plus a 10-year option lease.

Construction of the new hotel commenced in March and is expected to be completed in mid-2018.

Right Photo: Pictured from left St Hilliers’ senior construction manager Chad Doran; Quest general manager - growth James Shields; Penrith mayor John Thain; and St Hilliers’ senior project manager Michael Rae.

Bucketts Way Reconstruction Section 2

St Hilliers is pleased to announce that it has been named by Property NSW as the successful proponent to develop a mixed-use precinct at 32 Mann St in Gosford on the NSW Central Coast.

The first stage of the development will comprise a circa $50 million commercial office building. This A-Grade building of 7,340m2 NLA will accommodate more than 300 NSW Department of Finance, Services and Innovation employees by late next year. With an approved DA, the construction work is getting ready to commence mid this year.

Subsequent stages of the development will include over 250 residential apartments,

public linkages and mixed-use retail offerings.

The project is part of the Gosford “Waterfront Precinct” transformation and designed to activate the southern end of Mann Street, which runs directly through the centre of Gosford CBD and is an important connection between the waterfront, stadium precinct, public parks and the CBD.

This project allows us the opportunity to help change the shape of Gosford and our Thornton work through Urban Growth is testament to this. The Gosford project is another example of our government initiated capability.

St Hilliers’ civil and infrastructure capabilities continue to grow with over $25 million worth of contracts currently underway across regional NSW, Metropolitan Sydney and North Queensland.

Significant contracts include securing the $10 million trunk drainage and creek naturalisation project with new client Sydney Water as well as a $10 million mechanical installation contract for two Solar Farms in Far North Queensland.

Other projects continue to support local regional councils in NSW and include road reconstruction and remediation works for clients such as Greater Taree Council, Mid-Western Regional Council and Mid-Coast Council.

This growth comes off the back of a number of successful projects last year including the Buckett’s Way Reconstruction project for the Greater Taree Council and the Greenbank Training Area Civil Works for the Department of Defence.

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Education Projects Continue

Signature Atelier Development Now Complete

Collinsville Solar Farm

Major Defence Contracts on the Rise

Logan Village State School

Greenbank Training Area

The successful completion of the award winning Atelier residential development, located along Canberra’s Kingston Foreshore, has seen residents settling in to their luxury waterfront lifestyles since February. Atelier by definition means “the space belonging to an artist, a designer, an artisan” and it is certainly living up to its name with an unrivalled location and design excellence not seen in Kingston Foreshore to date.

The $45 million project, which began in the first quarter of 2015, involved the development, design and construction of the multi-storey residential building which included 74 spacious one, two and three-bedroom apartments with a sophisticated and refined design. The project was a fantastic outcome for the St Hilliers project team and a welcomed milestone for the Canberra community.

St Hilliers has recently been awarded the $10 million mechanical installation package as part of the Collinsville Solar Farm project, one of Australia’s largest solar farms in Far North Queensland, supported by both the Australian Renewable Energy Agency and the Queensland Government.

The Solar Farm will incorporate 62,607 piles supporting over 430,000 solar cell modules and will generate 288,000 MWh per annum, sufficient to power 62,000 homes.

A great outcome for St Hilliers as we start to move our infrastructure business into the renewable energy space.

This year has seen St Hilliers’ Defence capabilities highlighted with the successful procurement of over $100 million worth of Defence contracts across Australia in the last six months, strengthening our position as a trusted national Defence contractor.

Significant milestones include the $71 million Cultana Training Area Redevelopment Stage 1 project, which will deliver a state of the art training establishment in South Australia to enable Brigade level manoeuvre and live firing exercises, and the $21 million Land 17 Phase 1B / 1C Infrastructure project which will provide new, upgraded and refurbished infrastructure support facilities to support the introduction into service of a new equipment across five Defence bases in SA, WA, NSW and VIC.

These projects come five years after St Hilliers’ first Defence projects at the Greenbank and Wide Bay Training Areas were delivered, and are well-suited to our delivery model and experience.

High-Security Facility works continue to be another strong suite. Projects include the Infrastructure in Support of L3025 Phase 1 project at Holsworthy Barracks which involves the construction of a new secure facility to be built as a first floor

extension to an existing building and the Office Fitout for Defence industry leader, Harris Communications, which includes offices and display facilities and technical laboratory areas all either Zone 2 or Zone 4 classifications.

Defence PDS work remains a critical aspect of our Defence services and represent the smaller, maintenance style works. Having recently completed nearly $25 million in PDS works we are now pursuing further opportunities in this sector.

Overall, it’s been an exceptional start to 2017 for St Hilliers in the Defence sector as we now transition into the delivery phase of our major projects and continue to strengthen our relationships and capabilities with Defence.

St Hilliers’ success in the education sector continues with construction works progressing well on the $6.7 million Claremont Special School Development in Brisbane and the successful completion of a number of projects across Queensland and New South Wales over the last six months.

Works at Claremont Special School have been progressing well since January and include the construction of a new three-storey, ten space general learning area, teaching and administration building, a new car park for staff and visitors along with associated works.

Recently completed projects include the Logan Village State School new 6 space GLA, the Mackay District Special School additional accommodation block and related works in Queensland, and the NSW Secondary Schools Renewal Program in New South Wales which involved upgrades to seven regional high schools.

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A Message from Dan Hinton

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The St Hilliers culture has consistently been a defining element of our business that has not only allowed us to grow and develop into the company we are today, but continues to set us apart from our competitors.

We are made up of a diverse group of individuals. From builders and engineers to finance professionals and lawyers, our backgrounds spread across the wide spectrum of company sizes and location. This spread of knowledge and experience presents both our biggest strength as a business, but also our biggest risk in terms of how we integrate on such a wide level. Despite these differences, I am confident we all share in the company’s vision and strive to achieve for the advancement of the business, which in turn leads to opportunities for us at an individual level - an important aspect of our culture and the types of people we choose to employ.

We pride ourselves on being a small, collaborative team, who support each other through the tough times and celebrate the wins, no matter how big or small.

A positive company culture sustains employee enthusiasm, facilitates better company performance and overall improves employee loyalty and retention.

I recently reviewed the longevity of staff at St Hilliers and took away some eye opening facts. Over 30% of our employees have been here longer than ten years. That’s quite an astounding fact and is far in excess of the average for industry. In fact we have 6 employees who have been with the company almost as long as St Hilliers has been in existence, with well over 20 years of service. Longevity in an often transient industry like ours indicates loyalty and tells me people are staying here for reasons beyond just the normal commercial gains.

Another interesting fact is that we have nearly 30 employees who in fact returned after trying it out elsewhere – a feat not too many companies can attest and a testament to our strong company culture.

As a business we strive to reward employee loyalty and foster personal development

by providing opportunity for growth and advancement within the company, with almost all current senior roles having been filled from within by people who have ascended to the role rather than being hired in to it directly. This is an important part of creating and nurturing a company culture.

Moving forward, the challenge will now be to ensure this posit ive company culture continues as we look to increase our workforce.

I n te r na l commun ica t ion , pe rsona l development, and staff training around soft skills are some of the keys focus areas for the business over the next twelve months as we explore new mediums and innovative ways to deliver messages to staff, and manage relationships.

I am exceptionally proud of the company’s culture today and will continue to invest in a high calibre of employees to join our team as we continue to grow and evolve in a tough industry.

This year we have seen outstanding results in terms of both the procurement of new work and the delivery of projects across the country. This could not have been achieved without the dedication of a strong team of employees and a company culture which encourages employee participation on all levels.

St Hilliers’ and First Point Projects’ Thornton Central precinct continues to be a landmark project in Penrith with Stage 1 complete and residents taking advantage of all the perks the new precinct has to offer. Penrith has been labelled ‘Sydney’s fastest developing city centre’. With the Thornton precinct now well and truly out of the ground the area is transforming into a bustling hub of world-class amenities. Stage 1 included 151 residential units across four towers and varying in height up to seven levels. Stage 2, which will include 191 residential units across three towers up to eight levels, is on target to be complete in the coming months with the structure now finished,

fitout works well advanced and the scaffold strip proceeding. Stage 3A continues to progress with the structure now at Level 3 and fitout works commencing imminently. Piling works have now been complete on Stage 3B with footings underway. Stages 3A and 3B will construct 200 residential units across two towers up to 10 levels. A design competition was held in 2016 with the support of Penrith Council for the retail and hospitality hub, a 5,500 sqm precinct as part of Thornton that will provide residents with high-quality amenities, retail and restaurants right on their doorstep. For all the latest information visit: www.thorntoncentral.com.au

Support for Sick Kids Continues in Penrith Since early 2016, St Hilliers’ team along with over 200 workers at the Thornton Central precinct have been raising money for the Kids West Charity in Penrith, supporting sick kids in the local Nepean Hospital.

Last year over $11,000 was raised, funding the purchase of three life-giving humidicribs for the hospital, used to treat jaundice in premature babies.

This year has already seen over $2000 raised from site BBQ’s and auctions including the auction of redundant display suite office furniture.

Kids West is a local community based, volunteer run charity that has been supporting paediatric and neonatal intensive care units across western Sydney for over twenty years.

Thornton Update