MARKET RELEASE

CDI SELLS 187 TODD ROAD, PORT MELBOURNE 4 April 2014, Sydney - Challenger Diversified Property Group (ASX: CDI) today announced the exchange of an unconditional contract of sale for 187 Todd Road, Port Melbourne for $26.25 million to Podco investment syndicate. Todd Road is co-owned by CDI (60%) and by Challenger Life Company (40%). After the payment of incentives and selling costs the net proceeds are in line with the 31

December 2013 independent valuation.
Net proceeds from sale will be initially used to repay debt and CDI will look to reinvest these proceeds into further enhancing portfolio opportunities. This sale has no impact on FY14 earnings or distribution guidance and is expected to settle in early May 2014.
CDI Fund Manager Trevor Hardie said: "We have continued to execute on strategy, with the sale reducing CDI's exposure to the hi-tech office sector. The sale represents an opportunity to capitalise on the increasing investment demand for fringe/suburban assets. We will continue to focus on delivering value through our portfolio enhancement strategy".

ENDS

About Challenger Diversified Property Group (CDI):

CDI offers investors exposure to a diversified portfolio of properties generating stable income returns and potential for capital growth.

Further details are provided on CDI's website www.challenger.com.au/cd i

Important notice:

Any forward looking statements included in this document are by nature subject to significant uncertainties, risks and contingencies, many of which are outside the control of, and are unknown to, Challenger, so that actual results or events may vary from thos e forward looking statements, and the assumptions on which they are based.

Further enquiry: Jana Flanagan, Investor Relations Analyst +61 2 9994 7815

Nicole Webb, Corporate Communications associate +61 2 9994 7806

Challenger Diversified Property Group

(comprising Challenger Diversified Property Trust 1 ARSN 121 484 606 and Challenger Diversified Property Trust 2 ARSN 121 484 713) Responsible Entity Challenger Listed Investments Limited ABN 94 055 293 644 AFSL 236887

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