First Real Estate In : First REIT's 4Q 2011 Distributable Income More Than Doubles To S$12.1 Million

FOR IMMEDIATE RELEASE

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HO See Kim, seekim@august.com.sg

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First REIT

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Victor TAN, victortan@first-reit.com

First REIT's 4Q 2011 distributable income more than doubles to S$12.1 million

Gross revenue surged 82.0% to $S13.9 million with DPU rising to 1.93 cents per unit on divestment gains from Adam Road property and first-time contributions from two new hospitals in Indonesia and one in South Korea

Annualised DPU of 7.01 Singapore cents translates to a distribution yield of 9.2%

(S$'000)	4Q 2011	4Q 2010	Change	FY 2011	FY 2010	Change
Gross Revenue	13,925	7,649	82.0%	54,006	30,274	78.4%
Net Property Income	13,773	7,559	82.2%	53,436	29,875	78.9%
Distributable Amount	12,1151	5,434	122.9%	43,9341	21,346	105.8%
Distribution Per Unit (cts)	1.931	0.87	121.8%	7.011	6.63	NC2
Adjusted Distribution Per Unit (cts)	1.931	0.87	121.8%	7.011	3.423	105.0%
Annualised Distribution per unit (cts)	7.011	6.634	NC2	7.011	6.634	NC2

NC = Not comparable

1) This includes other gain relating to the distribution of a portion of the total gain on divestment of the Adam Road property of about S$8.7 million. The balance of the gain will be distributed to unitholders at the discretion of the Manager of First REIT in future periods.

2) YTD 31 December 2011 vs YTD 31 December 2010 are not comparable due to the effect of rights issue and acquisitions made in December 2010. (see also footnote 3)

3) Restated to take into account the effect of the rights issue in December 2010.

4) Actual paid for FY 2010 and the distribution for 4Q 2010 was based on enlarged units base as a result of rights issue in December 2010.

SINGAPORE - 26 January 2012 - Bowsprit Capital Corporation Limited ("Bowsprit"), the Manager of First Real Estate Investment Trust ("First REIT" or the "Trust"), Singapore's first healthcare real estate investment trust, has ended FY 2011 on a strong note, posting a

122.9% surge in distributable income for the fourth quarter ended 31 December ("4Q 2011") to
S$12.1 million.
Gross revenue for the period increased 82.0% to S$13.9 million compared to 4Q 2010, mainly due to the maiden contributions from two new properties in Indonesia - namely, Mochtar Riady Comprehensive Cancer Centre and Siloam Hospitals Lippo Cikarang acquired in December
2010, as well as the South Korean Sarang Hospital acquired in August 2011.
Distribution per unit ("DPU") for 4Q 2011 stood at 1.93 cents, which included distribution coming out of a portion of the total gains on divestment of the Adam Road property.
Based on the annualised DPU of 7.01 Singapore cents and the closing price of S$0.765 as at 25
January 2012, First REIT's yield stood at a robust 9.2%.
On a full-year basis, the Trust's distributable income surged 105.8% to S$43.9 million on the back of a 78.4% rise in gross revenue to S$54.0 million.
As at 28 December 2011, the total value of First REIT's investment properties increased from S$612.8 million to S$618.0 million, following the acquisition of Sarang Hospital and the divestment of the Adam Road property.

Books Closure and Distribution Payment

The Books will close at 5.00 pm on 3 February 2012 for the purpose of determining Unitholders' entitlement to the distribution. The distribution will be paid on 29 February 2012. The ex- dividend date will be on 1 February 2012 at 9.00 am.

Looking ahead

Despite the volatile economic climate, the Trust's resilient structure has held out well, providing consistent growth across all its properties. First REIT believes that the healthcare market in Asia is largely underserved and continues to hold potential growth prospects. For this reason, First REIT will continue to explore yield-accretive acquisitions in Asia.
Dr Ronnie Tan, Bowsprit's Chief Executive Officer said: "In the years ahead, we expect Indonesia to remain a key focus for us, and we see strong potential as Indonesia's consumption growth continues to grow, which invariably will increase the demand for quality healthcare services. We have been in discussions with our sponsor PT Lippo Karawaci Tbk to acquire some of its upcoming properties on which we have a right of first refusal."
On the Singapore front, the nation's ageing population and current "bed shortage" will continue to drive the demand for more nursing homes and community hospitals. Coupled with the
government's initiatives for improved palliative and tertiary care, First REIT's three nursing homes remain well positioned to respond to the resultant opportunities. As part of its asset enhancement strategy for its properties, the Trust is adding a new 5-storey extension block at The Lentor Residence, which is slated for completion in the second half of 2012.
"This past financial year, we have also acquired a nursing and rehabilitative hospital in South Korea, a country which boasts one of the highest quality healthcare systems in Asia, supported by top-notch medical professionals, facilities and technology. Korea is also experiencing a rapidly ageing population, and we see strong demand for nursing and rehabilitative services there as well."
Even after its recent acquisitions, the Trust enjoys a relatively low debt-to-property valuation ratio of 16.0%, which is significantly lower than the regulatory limit of 35%. Added Dr Tan: "First REIT will have sufficient headroom to pursue further acquisitions to add to our healthcare property portfolio when the opportunities arise."
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About First REIT

First Real Estate Investment Trust ("First REIT") is a real estate investment trust constituted by the Trust Deed entered into on 19 October 2006 between Bowsprit Capital Corporation Limited as the Manager and HSBC Institutional Trust Services (Singapore) Limited as the Trustee. First REIT was listed on the Singapore Exchange

Securities Trading Limited on 11 December 2006.

First REIT is Singapore's first healthcare real estate investment trust that aims to invest in a diversified portfolio of income-producing real estate and / or real estate-related assets in Asia that are primarily used for healthcare and / or healthcare-related purposes.

Managed by Bowsprit Capital Corporation Limited, First REIT's portfolio consists of ten properties located in

Indonesia, Singapore and South Korea, namely 1) Siloam Hospitals Lippo Village, 2) Siloam Hospitals Kebon Jeruk,

3) Siloam Hospitals Surabaya, 4) Imperial Aryaduta Hotel & Country Club, 5) Mochtar Riady Comprehensive

Cancer Centre, 6) Siloam Hospitals Lippo Cikarang, 7) Pacific Healthcare Nursing Home @ Bukit Merah, 8) Pacific Healthcare Nursing Home II @ Bukit Panjang, 9) The Lentor Residence and 10) Sarang Hospital.

Its Indonesian assets are operated by Siloam Hospitals Group, a division of PT Lippo Karawaci Tbk., a strong brand name in Indonesian healthcare industry supported by a team of international healthcare professionals. In Singapore, the nursing homes at Bukit Merah and Bukit Panjang are operated by Pacific Healthcare Nursing Home Pte. Ltd. and Pacific Eldercare and Nursing Pte. Ltd., respectively. The Lentor Residence is operated by First Lentor Residence Pte. Ltd. Sarang Hospital in South Korea is managed by a private doctor.

Through First REIT, investors can participate in an asset class that has a focus towards Asia's growing healthcare

sector, which is boosted by an increase in life expectancy in Indonesia and the rest of Southeast Asia.

IMPORTANT NOTICE

The value of units in First REIT ("Units") and the income derived from them may fall as well as rise. The Units are not

obligations of, deposits in, or guaranteed by, the Manager or any of its affiliates. An investment in Units is subject to investment risks, including the possible loss of the principal amount invested. Investors have no right to request the Manager to redeem their Units while the Units are listed. It is intended that unitholders of First REIT may only deal in their Units through trading on Singapore Exchange Securities Trading Limited (the "SGX-ST"). Listing of the Units on the SGX-ST does not guarantee a liquid market for the Units.

This document is for information only and does not constitute an invitation or offer to acquire, purchase or subscribe for the Units. The past performance of First REIT is not necessarily indicative of the future performance of First REIT. This document may contain forward-looking statements that involve risks and uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors include (without limitation) general industry and economic conditions, interest rate trends, cost of capital and capital availability, competition from similar developments, shifts in expected levels of property rental income, changes in operating expenses (including employee wages, benefits and training costs), property expenses and governmental and public policy changes. Investors are cautioned not to place undue reliance on these forward -looking statements, which are based on the Manager's view of future events.

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