THIS ANNOUNCEMENT IS NOT FOR DISTRIUBTION OR RELEASE, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, CANADA, AUSTRALIA, JAPAN OR SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH THE DISTRIBUTION OR RELEASE WOULD BE UNLAWFUL.

Grand City Properties S.A. continues its growth path in first quarter 2014 staying highly profitable with a well-balanced debt structure resulting in significant increases in all key metrics.

- Revenue increased to EUR 60.2 million, up 280% yoy

- Rental and operating income increased to EUR 45.7 million (188% yoy).

- Net profit is EUR 70.3 million (EUR 0.53 EPS), up 419 % yoy

- FFO of EUR 16.4 million up 761 % yoy, FFO per share EUR 0.14 up 342% yoy

- EBITDA of EUR 81 million, up 313 % yoy

- Adjusted EBITDA of EUR 23 million, up 260% yoy

- EPRA NAV improved to EUR 941 million, 10 % increase from year end 2013

- LTV with 38.9% below the BOD policy of 50%, reflecting conservative capital structure

- High financial flexibility for upcoming growth plans with cash and liquid assets of EUR 202 million as of March 31, 2014, where over 40% (EUR 650 million) of the assets are unencumbered

- Further strengthening of the advisory board with the appointment of Mr Leininger

Luxembourg, May 19, 2014 Grand City Properties S.A. (the "Company", "GCP") continues strongly into the year 2014 with its successful growth strategy and presents impressive results for the first quarter of 2014 with revenue up 280% and FFO per share up 342%.
GCP's portfolio increased by 4,000 units in the first three months of 2014 to 30,000 units in total (31,000 as of May 2014).

Markus Leininger was appointed as a member of the Company's Advisory Board. Formerly Head of Operations at Eurohypo AG and Rheinhyp AG (Commerzbank), he brings strong experience in financing, private equity and real estate.

Please find the full quarterly report on the Company's website: http://grandcityproperties.com/downloads.html

About the Company
Grand City Properties is a specialist real estate company focused on investing in and managing turnaround opportunities in the real estate property market in Germany, primarily in densely populated areas. The Company's unique strategy is to improve its properties through targeted modernization and intensive tenant management, and then create value by subsequently raising occupancy and rental levels.
Grand City Properties is a public limited liability company (société anonyme) incorporated under the laws of the Grand Duchy of Luxembourg, registered office 24, Avenue Victor Hugo, L-1750 Luxembourg and being registered with the Luxembourg trade and companies register (Registre de Commerce et des Sociétés Luxembourg) under number B 165560. Since May 2012, Grand City Properties is listed on the Frankfurt Stock Exchange Entry Standard (ISIN: LU0775917882). Further information: www.grandcityproperties.com

Press Contact:
Katrin Petersen
Grand City Properties S.A.
T: +352 287 752 55
E: [email protected]
www.grandcityproperties.com