update

UPDATE ON PROPOSALS RECEIVED

As detailed at our AGM yesterday, Becton Property Group (Becton) has received a number of incomplete and conditional proposals from industry
participants in relation to our business. The proposals are confidential and relate to a recapitalisation or acquisition of Becton (in whole or in part). We advise that a formal due diligence process has commenced with several interested parties to advance the proposals.

Key objectives of this process include strengthening Becton's capital structure and reducing the gap between Becton's underlying net asset value and the
current market trading price. Becton will provide a further update at the conclusion of the due diligence process but cautions that there is no
assurance that this process will result in any specific transaction.

Becton has retained Macquarie Capital Advisers as financial adviser.

Becton will continue with business as usual during the process. As outlined in our recent FY09 First Quarter Update, and again at the AGM, underlying
operating performance is sound. This year we have settled over $463 million of apartments - triple our normal annual settlements. In the nine months to 30 September, we reduced debt and other obligations by $275 million to $562 million and debt reduction remains our focus.

Becton confirms that it is in compliance with Listing Rule 3.1.

For media enquiries, please contact:
Matt Mahon or Peter Mahon (03) 9639 2300 or 0413 101 860