Subsidiary Reports for 2015

23 March 2016

BCRE - Brack Capital Real Estate Investments N.V.

("BCRE" or the "Company")

Subsidiary Reports for 2015

The Company announces that the Company's subsidiary Brack Capital Properties N.V. ("BCRE Germany"), whose shares are traded on the Tel Aviv Stock Exchange, has published the following in relation to the year ended 31 December 2015:

1. Board of Directors' report on the Corporation's state of affairs

2. Consolidated financial statements

3. Presentation of financial data from the consolidated financial statements attributed to BCRE Germany itself

For ease of reference, the uncertified English translation of the above documents along with the Hebrew certified versions, are available on the Company's website www.brack-capital.com.

Key highlights relating to the principal results for the year ended 31 December 2015 are:

1. Profitability - For 2015, BCRE Germany's net income attributed to BCRE Germany's shareholders amounted to EUR 63.4 million compared to a net income of EUR 38 million for 2014. Contribution from the income producing real estate assets and the residential development activity to the BCRE Germany's results were:

- Income producing real estate assets - For 2015, the Funds From Operations ("FFO") amounted to EUR 24.3 million compared to EUR 19.9 million for 2014. In the fourth quarter of 2015, the FFO amounted to EUR 6.54 million grossing up to an annual FFO of EUR 26.2 million.

- Residential development activity- For 2015, the contribution to income from the Grafental project amounted to EUR 13.7 million (consolidated) from the completion of the delivery of Phase A apartments (21 apartments), the delivery of 63 apartments of Phase B1 and the delivery of Phase B2 apartments in full (79 apartments). 

2. Balance sheet structure and financial strength:

a. Equity and EPRA NAV1 - The equity attributed to the shareholders of BCRE Germany amounted to EUR 345.5 million and the EPRA NAV amounted to EUR 411.5 million as of 31 December 2015.

b. Debt ratios - The LTV ratio2 is 52.9% and the net debt to CAP ratio3 is 58.11% as of 31 December 2015. The EBITDA (only from the income producing portfolio, excluding operating profit from the development activity) to interest expenses ratio is 2.88x in the fourth quarter of 2015.

c. Liquidity - Cash and liquid assets amounted to EUR 80.8 million as of 31 December 2015.

1 EPRA NAV - for information regarding the index and the calculation method see section 5 of part A of BCRE Germany's Board of Directors' Report on the Corporation's State of Affairs.

2 Net debt to net total balance sheet.

3 For details regarding the calculation method, see part E of BCRE Germany's Board of Directors' Report on the Corporation's State of Affairs - designated disclosure to the bondholders, section 4c, the CAP ratio calculation in the report.

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About BCRE

BCRE is an international real estate development and investment group, headquartered in the Netherlands and listed on the London Stock Exchange. Through its subsidiary and associated undertakings, the Company is interested in, develops and operates an international portfolio of real estate assets, predominantly located in the USA, Germany, Russia, India and the UK.

The Company has established local management team platforms with significant local market expertise in the US, Germany, Russia, India and the UK with exclusive access to over 400 staff. At present, the Company has offices and teams in New York, London, Frankfurt, Düsseldorf, Moscow, Kazan, New Delhi, Amsterdam, Limassol and Budapest.