Fund to invest in Bucovina

RNS Number:1369N
North Real Estate Opportunities Fd
04 December 2006



4 December, 2006


  North Real Estate Opportunities Fund to invest Euro60 million in development of
                   Bucovina Shopping City in Suceava, Romania


North Real Estate Opportunities Fund Ltd ("NRE" or "Company") announces its
second investment in Romania with the 60 million Euro development of Bucovina
Shopping City, a 55,000 square metre shopping centre in Suceava.

Bucovina Shopping City, which is scheduled to open in April 2008, is located in
the city centre of Suceava, the capital of Romania's historically significant
Bucovina region. The shopping centre, which will be the largest in the region,
will be anchored by leading international retailers including a Carrefour
Hypermarket and a Mobexpert furniture superstore, the region's dominant large
format furniture retailer. The shopping centre will also feature a leading
electronics superstore and an internationally recognised DIY retailer and
include a 12,000 square meter retail gallery with over 80 stores, including a
full range of men and woman's fashion, sporting goods, services and restaurants.

Bucovina Shopping City will be the second project in NRE's developing portfolio
of dominant destination retail parks in Romania, Bulgaria and other eastern
European countries. Last week, NRE announced the acquisition of European Retail
Park Sibiu for approximately Euro 83 million.

Commenting on the acquisition, Robert Provine, Managing Director, said: "I am
delighted that we are able to announce NRE's development of the Bucovina
Shopping City. We are optimistic about the prospects and growing prosperity of
Suceava and we are pleased to have secured as anchor tenants leading
international and regional retailers. Bucovina Shopping City will be a truly
regional retail centre, serving both the city of Suceava and the surrounding
counties."

The Company seeks to achieve a balanced risk-return profile through its strategy
of acquiring existing income producing assets as well as developing new retail
properties. The pre-let Bucovina Shopping City project is anticipated to
generate a rental yield for the Company in excess of 9% on a unlevered basis.

Magnus Lofgren, Managing Director added: "We are pleased to be delivering
projects on or ahead of our business plan and look forward to continuing to grow
our portfolio of retail properties in 2007, both through acquisition and
development."


                                     -Ends-
                                        

Enquiries:

North Real Estate Opportunities Fund      +44 207 590 7600
Robert Provine
Alex Haidas

Merlin                                    +44 207 653 6620
Anca Spiridon
Michael Rummel



Notes to Editors

North Real Estate Opportunity Fund Ltd is a Guernsey based closed-ended
investment company, investing in the commercial property markets of Central and
Eastern Europe. The company is listed on the London Stock Exchange's AIM market
and is managed by North Asset Management, with offices in London and Bucharest.
The Fund's ticker is NRE.

www.nreof.com


North Asset Management is an independent alternative asset manager with a strong
focus on the European time zone and in particular the opportunities available in
peripheral Europe. Founded in July 2002, North brings together a highly
respected team of professionals with an average prior experience of over ten
years in the investment banking and management community. The company currently
manages over $1 billion on behalf of its clients in hedge funds, real estate
funds, discretionary mandates and CDOs.

www.northllp.com

North was advised by Nestor & Nestor, Kingston Peterson.




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