Main Market Listing

9 June 2014

Japan Residential Investment Company Limited

(the "Company")

Main Market Listing

Japan Residential Investment Company Limited (AIM: JRIC) is a closed-ended Guernsey registered company established to make and hold investments in residential property in Japan. The Company, its subsidiaries and entities in which it has a beneficial interest are referred to collectively as the "Fund".

The Fund has made significant progress since the continuation resolution was passed in July 2013, providing the Company with a renewed mandate for growth. In line with the Fund's growth strategy, the Company raised £15.4 million of new equity capital in October 2013 for property acquisitions. By March 2014, the proceeds of the fundraising had been fully deployed with the purchase of 9 properties for a total of £65 million, and at a prospective net operating yield of 5.2%.

In the current market environment, well-located multi-family residential properties in the major cities continue to offer an attractive cash stream net of expenses as well as a wide spread over the cost of borrowing. The Company aims to grow its capital base further to create greater economies of scale and improved liquidity in the underlying shares, whilst enabling the Fund to take advantage of earnings accretive acquisition opportunities. The Fund will also continue to execute on its stated capital rotation strategy, by disposing of non-core assets and reinvesting proceeds into select, high quality properties to enhance NAV and earnings growth.

As it positions itself for further growth, the Company has decided to pursue a listing of its entire listed share capital on the premium segment of the Official List of the UK Listing Authority (the "Official List") and admission to trading on the London Stock Exchange plc's main market for listed securities (the "Main Market") this calendar year. In light of its successful operational track record and continued growth, the Company believes that the Official List is a more appropriate platform and will help to raise the profile of the Company while enhancing liquidity and increasing its appeal to a broader range of investors.

Existing shareholders should consult their own tax advisers as to the tax implication of the proposed move to the Official List.

A further announcement will be made in due course.

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