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ENTITY: GOODMAN GROUP

The 2030 Report | Macro Intelligence Memo | June 2030

FROM: The 2030 Report - Real Estate & Infrastructure Markets Division TO: Goodman Employees, Career Development Communities, and Stakeholder Organizations RE: Data Center Real Estate Expansion, Logistics-to-Technology Sector Transition, and Career Trajectory Analysis Q2 2030 DATE: June 2030 CLASSIFICATION: Open / Employee Education

EXECUTIVE SUMMARY

Goodman Group, Australia's largest logistics real estate investment trust (REIT), has undergone strategic transition during 2024-2030 from pure logistics real estate provider toward integrated logistics and data center real estate operator. This transition reflects fundamental shift in real estate demand: traditional logistics warehouse capacity stabilizing while data center capacity demand is accelerating at 18-24% annually globally.

The company's transformation is creating robust hiring opportunities across development, engineering, operations, and technology functions. Goodman plans to add approximately 150-200 net new employees during 2030-2032, representing accelerated headcount growth relative to historical trends. Career advancement opportunities are particularly strong in data center development and technology functions, with wage growth of 6-10% annually substantially above inflation and broad real estate sector averages.

For Goodman employees, the strategic transition creates clear career winners and structural opportunities: those in data center development, facility operations, and technology roles experience strong career tailwinds and above-market compensation growth, while those in traditional logistics real estate support functions face more moderate advancement prospects.

SECTION I: AUSTRALIAN REAL ESTATE SECTOR AND REIT COMPETITIVE LANDSCAPE

Australian REIT Market Structure

Australia's REIT market comprises approximately 45 publicly-listed REITs managing AUD 550-600 billion in real estate assets (2030). The sector includes:

Logistics and Warehouse REITs: - Goodman Group: AUD 100.2 billion in assets under management - Vicinity Centres: AUD 48.3 billion (retail-focused) - Australian Logistics REIT: AUD 31.4 billion (smaller competitor) - GPT Group: AUD 53.2 billion (mixed office/retail/logistics)

Market Dynamics: - Logistics REIT sector: Growing 8-12% annually in asset value - Retail REIT sector: Declining 2-4% annually (retail disruption) - Office REIT sector: Stagnant to declining (post-pandemic work normalization) - Data center REIT sector: Growing 16-22% annually (emerging, specialized)

Goodman's Historical Positioning

Goodman Group, founded 1990, emerged as Australia's dominant logistics REIT by 2020 through acquisition strategy and development of warehouse and logistics properties. As of FY2024:

Asset Portfolio: - Total AUM: AUD 100.2 billion - Logistics/warehouse properties: 85% of portfolio (AUD 85.2B) - Data center properties: 8% of portfolio (AUD 8.0B) - Other real estate: 7% of portfolio (AUD 7.0B)

Financial Profile (FY2023-24): - Revenue: AUD 1,840 million - Operating profit: AUD 1,148 million (62% operating margin, typical for REITs) - Net distributable profit: AUD 742 million - Distribution to shareholders: AUD 0.68 per share

Geographic Diversification: - Australia: 48% of portfolio value - Asia-Pacific (ex-Australia): 32% of portfolio value - Europe: 18% of portfolio value - Americas: 2% of portfolio value

Goodman's competitive advantages centered on: - Scale advantage (largest Australian logistics REIT) - Development and construction capability - Geographic diversification reducing regulatory risk - Strong balance sheet and access to capital

SECTION II: DATA CENTER REAL ESTATE OPPORTUNITY AND STRATEGIC TRANSITION

Global Data Center Demand Dynamics

Data center real estate represents one of the fastest-growing asset classes globally during 2024-2030:

Data Center Capacity Growth: - Global data center inventory: 8,200 MW of power capacity (2024) - Projected 2030 capacity: 12,600-13,200 MW (54-61% growth) - CAGR 2024-2030: 6-8% capacity growth - Demand drivers: AI/ML computing, cloud adoption, edge computing expansion

Market Value Growth: - Global data center REIT market: USD 280-320 billion (2024) - Projected 2030 market: USD 520-600 billion - CAGR 2024-2030: 11-13% in asset values

Geographic Distribution of Growth: - Asia-Pacific region: 28-32% of global demand (fastest growth) - North America: 35-38% of global demand - Europe: 22-25% of global demand - Rest of world: 8-10% of global demand

The Asia-Pacific demand growth is particularly relevant for Goodman, given company's significant regional presence and expertise.

Goodman's Data Center Strategy

Recognizing data center opportunity, Goodman initiated strategic data center expansion during 2024-2030:

Data Center Portfolio Growth: - FY2024: 8.0% of portfolio (AUD 8.0B) - FY2025: 10.2% of portfolio (AUD 10.5B) - FY2027: 14.8% of portfolio (AUD 15.2B) - FY2030: 22-26% of portfolio (estimated AUD 24-28B)

This portfolio reallocation reflects deliberate capital redeployment: logistics property development moderating while data center development accelerates.

Data Center Development Pipeline: - Under development (2024): 180 MW of capacity - Planned development (2025-2030): 480-520 MW of capacity - Geographic focus: Australia (35%), Asia-Pacific (45%), Europe/Americas (20%)

Data Center Development Locations: - Australia: Sydney (3 facilities planned), Melbourne (2 facilities), Brisbane (1 facility) - Asia-Pacific: Tokyo (1 facility), Singapore (1 facility), Bangkok (1 facility), Hong Kong (1 facility) - Europe: London (1 facility), Amsterdam (1 facility) - Americas: Dallas (1 facility)

Data Center Economics and Returns Profile

Data center properties generate superior returns relative to traditional logistics real estate:

Logistics Warehouse Economics: - Gross yield (rent/property value): 4.5-5.2% - Operating expense ratio: 18-22% of revenue - Net yield: 3.8-4.2% - Expected total return (including growth): 6-8% annually

Data Center Economics: - Gross yield (rent/property value): 6.2-7.8% - Operating expense ratio: 24-30% of revenue (higher due to power/cooling costs) - Net yield: 5.2-6.8% - Expected total return (including growth): 8-12% annually

The superior return profile of data centers justifies capital reallocation toward data center development, as data centers generate 200-300 basis points higher yields than logistics properties.

SECTION III: GOODMAN ORGANIZATIONAL STRUCTURE AND HEADCOUNT PLANNING

Current Organizational Structure (2024-2030)

Goodman's organizational structure evolved to support data center expansion:

Functional Divisions: - Development and Projects: Building new logistics and data center properties - Operations and Asset Management: Managing existing property portfolios - Investment and Capital Markets: Fund management and investor relations - Finance and Corporate: Finance, legal, HR, strategy

Headcount by Division (approximate, as of FY2024): - Development and Projects: 340 employees - Operations and Asset Management: 520 employees - Investment and Capital Markets: 180 employees - Finance and Corporate: 260 employees - Total: 1,300 employees

Hiring and Headcount Growth Plans (2030-2032)

Goodman announced ambitious hiring plans to support data center expansion:

Development and Projects Division: - Target positions: 50-80 new hires (14.7-23.5% growth) - Roles: Architects (15-20), engineers (18-25), project managers (12-20), data center specialists (5-15) - Timeline: Distributed 2030-2032

Operations and Asset Management: - Target positions: 30-50 new hires (5.8-9.6% growth) - Roles: Data center facility managers (18-28), technicians (8-15), asset managers (4-7) - Timeline: Distributed 2030-2032

Technology and IT Systems: - Target positions: 20-30 new hires (new division emphasis) - Roles: Systems engineers, platform developers, data analysts, business intelligence specialists - Timeline: Distributed 2030-2032

Finance and Capital Markets: - Target positions: 15-20 new hires (4.8-6.1% growth) - Roles: Analysts, valuation specialists, capital markets specialists

Total Hiring (2030-2032): 115-180 net new positions (approximately 35-60 annually)

SECTION IV: COMPENSATION STRUCTURE AND WAGE GROWTH

Base Salary Ranges by Function (FY2030)

Development and Projects: - Junior Architect/Engineer: AUD 85,000-105,000 - Senior Architect/Engineer: AUD 125,000-160,000 - Project Manager: AUD 110,000-145,000 - Senior Project Manager: AUD 150,000-190,000 - Data Center Specialist: AUD 95,000-125,000

Operations and Asset Management: - Facility Manager: AUD 75,000-95,000 - Senior Facility Manager: AUD 100,000-130,000 - Asset Manager: AUD 105,000-135,000 - Senior Asset Manager: AUD 140,000-180,000

Technology and Systems: - Systems Engineer: AUD 95,000-120,000 - Senior Systems Engineer: AUD 135,000-170,000 - Platform Developer: AUD 110,000-145,000 - Data Analyst: AUD 85,000-110,000

Finance and Corporate: - Analyst: AUD 65,000-85,000 - Senior Analyst: AUD 90,000-115,000 - Manager: AUD 120,000-155,000

Wage Growth Initiatives (FY2030 Onward)

Goodman implemented differentiated wage growth reflecting business priorities:

Salary Growth Targets (FY2030-2031): - Development team (architects, engineers): 5-8% annual increase - Data center specialists: 6-9% annual increase - Technology/systems: 6-10% annual increase - Operations/asset management: 4-6% annual increase - Finance/corporate: 3-4% annual increase - Overall company average: 4.2% annual increase

Context: - Australian inflation (2030): 2.2% - Goodman salary growth (average): 4.2% - Real wage growth (company average): +2.0% above inflation - Development/technology real wage growth: +3.8-5.8% above inflation

The wage growth differential strongly favors development and technology functions, reflecting business criticality and external labor market competition.

Performance Bonus and Incentive Structure

Performance Bonus Targets (as % of base salary): - Individual contributors: 12-16% (unchanged) - Team leads and project managers: 16-22% (+3 percentage points for critical projects) - Senior managers: 20-30% (+3 percentage points) - Executive: 30-50% (+5 percentage points)

Company Bonus Achievement (FY2030): 112% of target (reflecting strong property market and data center demand)

The bonus structure enhancement reflects company's strong financial performance and emphasis on incentivizing data center development completion.

Equity and Long-term Incentives

Goodman expanded Long-Term Incentive Plans for senior technical and project talent:

Restricted Stock Unit Grants (FY2030): - Senior development/data center leaders: AUD 60,000-100,000 annually - Senior project managers: AUD 45,000-75,000 annually - Senior operations managers: AUD 40,000-65,000 annually - Other senior individual contributors: AUD 25,000-50,000 annually

SECTION V: CAREER DEVELOPMENT AND ADVANCEMENT PATHWAYS

Development and Projects Career Track

The development track represents highest-opportunity career path:

Architect/Engineer Progression: - Entry: Graduate Engineer (AUD 85,000-105,000) - Growth: Engineer (AUD 110,000-135,000) - Senior: Senior Engineer (AUD 130,000-160,000) - Leadership: Engineering Manager (AUD 155,000-190,000) - Expert: Principal/Senior Principal Engineer (AUD 180,000-230,000)

Advancement Velocity: - Graduate → Engineer: 2-3 years - Engineer → Senior: 3-4 years - Senior → Manager: 4-5 years - Manager → Principal: 6-8 years

Career progression to senior/principal positions achievable within 8-10 years, with corresponding compensation growth from AUD 85,000 entry level to AUD 180,000-230,000 senior position.

Project Manager Progression: - Junior Project Manager: AUD 95,000-110,000 - Project Manager: AUD 120,000-145,000 - Senior Project Manager: AUD 150,000-180,000 - Program Director: AUD 190,000-240,000

Acceleration of data center development creates accelerated progression for project managers managing complex development programs.

Data Center Specialization Track

Recognizing data center technical specialization requirements, Goodman established dedicated data center specialist roles:

Data Center Specialist Progression: - Entry: Data Center Technician (AUD 65,000-80,000) - Growth: Data Center Engineer (AUD 90,000-125,000) - Senior: Senior Data Center Engineer (AUD 130,000-165,000) - Leadership: Data Center Operations Manager (AUD 160,000-200,000)

This specialized track enables deep technical expertise in data center operations while maintaining career advancement to management levels.

Technology and Systems Career Track

Data center expansion created significant technology and systems opportunities:

Systems Engineering: - Junior Systems Engineer: AUD 85,000-105,000 - Systems Engineer: AUD 115,000-140,000 - Senior Systems Engineer: AUD 145,000-175,000 - Principal Systems Engineer: AUD 185,000-230,000

Technology roles command premium compensation reflecting market competition with technology companies for systems talent.

Professional Development Programs

Goodman committed AUD 15-18 million annually to employee development:

Data Center Technology Certifications: - Data Center Infrastructure Professional (DCIP): Tuition reimbursement 100% - Certified Data Center Manager (CDCM): Tuition reimbursement 100% - Cloud certifications (AWS, Azure, GCP): Available through partnership programs

Project Management Certifications: - Project Management Professional (PMP): Tuition reimbursement 100% - Project Risk Professional: Available for senior project managers - PRINCE2: Available for Australian operations

Engineering and Architecture Certifications: - Professional Engineer (CPEng) pathway support - Structural/mechanical certifications - Building Information Modeling (BIM) training

Annual participation in certification programs: 280-320 employees

SECTION VI: OPERATIONAL EXCELLENCE AND STRATEGIC INITIATIVES

Data Center Development Execution Capability

Goodman's competitive advantage in data center development derives from:

Construction and Project Management: - In-house engineering and project management teams - Relationships with quality contractors and suppliers - Experience building large-scale facilities (growing from logistics background) - Ability to manage complex parallel development programs

Timeline for Data Center Development: - Site acquisition and planning: 4-6 months - Design and permitting: 8-12 months - Construction: 12-18 months - Commissioning and customer handoff: 2-3 months - Total cycle: 26-39 months from site acquisition to revenue-generating facility

Goodman has established infrastructure and processes enabling rapid development of data center facilities while maintaining quality and regulatory compliance.

Technology Platform Development

Supporting data center growth, Goodman invested in internal technology platforms:

Portfolio Management Systems: - Real-time asset tracking and performance monitoring - Predictive maintenance for critical infrastructure - Tenant/customer relationship management for data center customers - Investment: AUD 12-15 million (2024-2030)

Operational Intelligence Platforms: - Energy consumption monitoring and optimization - Power distribution and cooling system management - Security and access control integration - Investment: AUD 8-10 million

These technology platform investments support operational excellence and customer satisfaction in increasingly sophisticated data center operations.

SECTION VII: RISK FACTORS AND COMPETITIVE POSITIONING

Data Center Market Risks

While data center opportunity is substantial, several risks warrant consideration:

Demand Risk (LOW-MODERATE): Data center demand growth is driven by structural factors (AI/cloud adoption), but demand is not guaranteed. Technology transitions or reduced digital investment could moderate demand.

Competitive Risk (MODERATE): Specialized data center REITs (Digital Realty, Equinix) have significant competitive advantages in large-scale data center development. Goodman's entry requires differentiated positioning.

Regulatory Risk (MODERATE): Data center development requires significant electrical infrastructure and power capacity. Electricity availability and regulatory constraints could limit expansion.

Technology Risk (LOW-MODERATE): Data center technology standards are evolving (power efficiency, cooling systems, power delivery). Legacy facility design could become obsolete.

Goodman Competitive Positioning

Goodman's competitive advantages in data center market:

Goodman is well-positioned as credible mid-tier data center provider, though unlikely to achieve dominance vs. specialized data center companies.

CONCLUSION

Goodman Group is undergoing strategic transition from pure logistics REIT toward integrated logistics and data center REIT, driven by accelerating data center real estate demand. The transition is creating robust hiring opportunities across development, operations, and technology functions, with total planned hiring of 115-180 positions during 2030-2032.

Career advancement opportunities are particularly strong in data center development and technology functions, with wage growth of 6-10% annually substantially above inflation and real estate sector averages. Development and technology professionals are well-positioned for rapid career progression and above-market compensation growth.

For Goodman employees, success in transitioning company requires embracing data center technical expertise, developing project management capabilities, and demonstrating flexibility in working with new organizational structures and processes. Employees in development, data center operations, and technology functions should position themselves for accelerated career advancement during 2030-2035.

The 2030 Report — Real Estate & Infrastructure Markets Division Research Date: June 2030 | Distribution: Open / Employee Education