Notification of Board changes

THIS ANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION

IN OR INTO THE RUSSIAN FEDERATION, THE UNITED STATES, CANADA, AUSTRALIA OR JAPAN

AFI DEVELOPMENT PLC

("AFI DEVELOPMENT" OR "THE COMPANY")

NOTIFICATION OF BOARD CHANGES

London, 22 October 2015 - AFI Development PLC, a leading real estate company focused on developing property in Russia, today announces its new Board of Directors composition following the Company's Annual Shareholders Meeting held on 21 October 2015.

The following members were re-elected to the Board of Directors:

· Mr Lev Leviev as Director and Executive Chairman

· Mr Avraham Noach Novogrocki as Non-Executive Director

· Mr Christakis Klerides as Non-Executive Senior Independent Director

· Mr Moshe Amit as Non-Executive Independent Director

· Mr Panayiotis Demetriou as Non-Executive Independent Director

As part of a Board re-organisation process, Mr Porter and Mr Groysman were not proposed for re-election and cease to be members of the Board as of 21 October 2015.

Mr Groysman remains the Chief Executive Officer of the Company's main Russian operating subsidiary, AFI RUS LLC. He will concentrate on the management of the Russian operations and projects development going forward.

AFI Development's Board of Directors would like to thank Mr Porter for his valuable insights and dedication over the past 8 years and wish him the best of luck in his diverse business activities.

- ENDS -

For further information, please contact:

AFI Development, +7 495 796 9988

Ilya Kutnov

Citigate Dewe Rogerson, London +44 20 7638 9571

David Westover

Sandra Novakov

Marina Zakharova de Calero

About AFI Development

AFI Development is one of the leading real estate development companies operating in Russia. Established in 2001, AFI Development is a publicly traded subsidiary of Africa Israel Investments Ltd.

AFI Development is listed on the Main Market of the London Stock Exchange and aims to deliver shareholder value through a commitment to innovation and continuous project development, coupled with the highest standards of design, construction and quality of customer service.

AFI Development focuses on developing and redeveloping high quality commercial and residential real estate assets across Russia, with Moscow being its main market. The Company's existing portfolio comprises commercial projects focused on offices, shopping centers, hotels and mixed-use properties, and residential projects. AFI Development's strategy is to sell the residential properties it develops and to either lease the commercial properties or sell them for a favorable return.

AFI Development is a leading force in urban regeneration, breathing new life into city squares and neighborhoods and transforming congested and underdeveloped areas into thriving new communities. The Company's long-term, large-scale regeneration and city infrastructure projects establish the necessary groundwork for the successful launch of commercial and residential properties, providing a strong base for future.