Notice of EGM

Eastern European Property Fund Limited (the "Company")

Notice of EGM and Shareholder Circular being posted

At the Company's AGM to be held on 14 September 2012, the Company will be proposing a resolution that the Company cease to continue as constituted (the "Discontinuation Resolution"). In advance of the AGM, a number of Shareholders, representing 52.4 per cent. of the issued Share capital of the Company, have indicated to the Company that they intend to vote in favour of the Discontinuation Resolution by way of irrevocable undertaking to vote in such a manner. The Discontinuation Resolution is an ordinary resolution requiring a simple majority of those Shareholders voting to vote in favour in order for it to be passed. As a result of the level of irrevocable undertakings received to vote in favour of the Discontinuation Resolution, this resolution will be passed at the AGM.

In light of the anticipated passing of the Discontinuation Resolution, and in accordance with Article 36 of the Company's Articles of Incorporation, the Directors are required to formulate proposals to be put to Shareholders to reorganise, unitise, reconstruct, or wind up the Company. The Company announces that a Circular to Shareholders convening an Extraordinary General Meeting ("EGM") has been posted to Shareholders today with details of these proposals, being the amendment to the investment objective and policy of the Company to enable the Company to implement a Realisation Strategy, and to seek Shareholder approval for these proposals in accordance with the AIM Rules. A resolution to approve the amendment to the Company's investment objective and policy (the "Realisation Strategy Resolution") will be proposed at the EGM to be held on 25 September 2012. The Realisation Strategy Resolution will amend the investment objective and policy such that the Company is to carry out an orderly realisation of the Company's portfolio of assets, distribute the net proceeds to Shareholders and then undertake a voluntary winding-up of the Company. Disposals may be by individual sales or as transactions incorporating a group of properties.

Those same Shareholders referred to above, controlling 52.4 per cent. of the issued Share capital of the Company, have also given irrevocable undertakings to vote in favour of the Realisation Strategy Resolution and, as this will also be considered as an ordinary resolution requiring a simple majority of those Shareholders voting to vote in favour in order for it to be passed, this resolution will also be passed at the EGM.

The EGM will be held at the registered office of the Company commencing at 10.30 a.m. on 25 September 2012.

All capitalised words used in this announcement but not defined are as defined in the Company's Shareholder circular, a copy of which will be available on the Company's website at www.EEPFL.com

For further information:

Elysium Fund Management Limited

Andrew Duquemin +44 1481 810101

Liberum Capital Limited

Steve Pearce/Tom Fyson +44 203 100 2220