EANS-Adhoc: Atrium European Real Estate Limited / ATRIUM COMPLETES THE E191 MILLION ACQUISITION OF PALÁC FLÓRA IN PRAGUE

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27.09.2011

ATRIUM COMPLETES THE E191 MILLION ACQUISITION OF PALÁC FLÓRA IN
PRAGUE

-Czech portfolio reaches 98 properties after Prague's largest real
estate transaction in 2011-

Jersey, 27 September 2011. Atrium European Real Estate Limited
("Atrium" or the "Company") (VSE/Euronext: ATRS), one of the leading
real estate companies focused on shopping centre investment,
management and development in Central and Eastern Europe, announces
that it has acquired the Palác Flóra shopping centre in Prague for
E191million from its two previous owners, AFI Europe and Avestus
Capital Partners. The acquisition, which was financed through a
mixture of equity and debt, is in line with Atrium's strategy of
acquiring prime, income producing, supermarket anchored shopping
centres in the tier one cities of its target 'A' rated and above
markets of Czech Republic, Poland and Slovakia.

Palác Flóra is one of the prime shopping centres in Prague and this
acquisition is the largest real estate transaction in the Czech
capital this year. The 37,600sqm gross lettable area ("GLA")
property was opened in 2003 and comprises 20,000sqm of retail, which
is 100% let, and 17,600sqm of offices, which are 99.1% let, over a
four-floor underground car park. It is well located in an affluent
residential area with excellent transport links that include its own
Metro subway station. The Company believes that Palác Flóra will
benefit from the operational efficiencies and economies of scale made
available from being integrated into Atrium's wider portfolio.

As a result of the acquisition the value of Atrium's income producing
portfolio increases to ca. E2.0billion, of which 75% by value is
situated in 'A-' or above rated countries. Further, the Czech
Republic, the highest rated country in Atrium's markets, at A+
/Positive, now accounts for around 23% of the Company's total
portfolio by value; meaning it becomes Atrium's second largest market
after Poland at 46% (A- Stable). In addition, Atrium's exposure to
the Czech Republic's largest two cities, Prague and Brno, has
increased to 68% of the Czech portfolio.

The retail element of the centre attracts an annual footfall of over
eight million visitors and comprises 130 units across four levels.
It is anchored by a 1,840sqm Ahold owned Albert supermarket and an
eight screen Cinema City, together with a 3DImax, whilst being fully
let to a strong mix of international and local brands including
Reserved, Cottonfield, Gant, Intersport, Lacoste, Levis, Miss Sixty,
Pepe, Sergio Tacchini, Triumph and Vodafone.

Palác Flóra also offers three separate towers of prime office space.
One of the towers has a roof terrace on the top floor, while each
tower has its own lobby and comprises five floors with standard floor
plates of around 1,900 sqm. It is let to a range of international
and local businesses, including Danone, Xerox, and Exxon Mobil.

Palác Flóra is located in the district of Vinohrady (Prague 3), one
of Prague´s most affluent residential districts, approximately two
kilometres from the centre. In addition to a dedicated 'Flóra' Metro
(subway) station leading straight into the centre, the mall benefits
from excellent bus and tram connections located at its street level
entrance. It is also well positioned at the intersection of two main
roads which connect it to the city centre and the surrounding
suburbs.

Commenting on the acquisition, Rachel Lavine, CEO of Atrium said:
"This transaction is another significant step in Atrium's growth and
means that we now have 98 properties in the Czech Republic. Palác
Flóra fits all the criteria we look for in an acquisition, being well
located in a capital or tier one city, and fully let to a strong
tenant base providing highly visible and secure income. It is also
in one of our target markets and further increases the weight of
income Atrium derives from 'A' rated countries.

"We believe that by bringing Palác Flóra under the Atrium management
"Umbrella" we will be able to further improve its performance due to
the economies of scale available from being part of Atrium's wider
portfolio and from the asset management expertise our team is able to
provide."

For further information:
FTI Consulting Inc: +44 (0)20 7831 3113
Richard Sunderland
Laurence Jones
Will Henderson
richard.sunderland@fticonsulting.com

Atrium in the Czech Republic Prior to the acquisition of Palac Flora,
Atrium owned 97 shopping centres in the Czech Republic, with a market
value of approximately E248 million, as at 30 June 2011, and a gross
lettable area of over 333,000sqm. Atrium's Czech portfolio generated
around E25.5 million / Czech Koruna 618 million of Gross Rental
Income ("GRI") in 2010 and E13.1million / Czech Koruna 320 million in
the first half of 2011. The Czech Republic was Atrium's third
largest market, after Poland and Russia, delivering a 17% share of
the Group's total GRI.

In the Czech Republic, Atrium also co-owns the 33,500 sqm Futurum
Brno, a portfolio of Interspar hypermarkets and retail parks (such as
those in Pardubice, Stare Mesto, Frydek Mistek), self standing
supermarkets (Albert, Billa, Lidl) and number of neighbourhood and
convenience centres spread across the whole country.

About Atrium European Real Estate Limited Atrium is a leading real
estate company focused on shopping centre investment, management and
development in Central and Eastern Europe. As at 30 June 2011 the
Group owned 153 shopping centres, with a market value of E1.77
billion, diversified across eight countries with a total gross
lettable area of 1.14 million sqm. At the same time the Company had
a cash position of E210 million against borrowings of E453 million.

Gross rental income from investment properties for the year ended 31
December 2010 was E151.5 million and was E85.1 million for the six
months to 30 June 2011, while net rental income for the same periods
was E134.4 million and E78.0 million (up 19.4% over H12010)
respectively. The operating margin at 30 June 2011 was 91.7% compared
to the full year 2010 figure of 88.8% and around 81% in 2009 and 71%
in 2008, when the current management began running the company.
Geographically, the Group's focus is principally concentrated in
Poland, the Czech Republic and Russia with a presence in Hungary,
Romania, Latvia and Slovakia. In addition, the Company has a
development portfolio with a market value of E615 million as at 30
June 2011.

The Company is based in Jersey and dual listed on the Vienna and
Euronext Amsterdam Stock Exchanges under the ticker ATRS.

This press release appears as a matter of record only and does not
constitute an offer to sell or a solicitation of an offer to purchase
any security. Atrium is established as a closed-end investment
company domiciled in Jersey. Atrium is registered with the Dutch
Authority for the Financial Markets as a collective investment scheme
which may offer participations in The Netherlands pursuant to article
2:66 of the Financial Supervision Act (Wet op het financieel
toezicht). All investments are subject to risk. Past performance is
no guarantee of future returns. The value of investments may
fluctuate. Results achieved in the past are no guarantee of future
results. The Dutch and Austrian paying agent of Atrium is Kempen &
Co. N.V., Beethovenstraat 300, 1077 WZ Amsterdam, the Netherlands.

Further inquiry note:
Financial Dynamics, London
Richard Sunderland / Laurence Jones
Phone: +44 (0)20 7831 3113
richard.sunderland@fticonsulting.com

end of announcement euro adhoc
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issuer: Atrium European Real Estate Limited
Seaton Place 11-15
UK-JE4 0QH St Helier Jersey / Channel Islands
phone: +44 (0)20 7831 3113
mail: Richard.sunderland@fd.com
WWW: http://www.aere.com
sector: Real Estate
ISIN: JE00B3DCF752
indexes: Standard Market Continuous
stockmarkets: official market: Wien
language: English