Refinancing of Loan

2 February 2010

Japan Residential Investment Company Limited ("the Company")

Refinancing of Loan

Japan Residential Investment Company Limited (AIM: JRIC), the closed-ended Guernsey registered company established to make and hold investments in residential property in Japan, announces the refinancing of JPY3.16 billion (GBP 22.0 million) of its existing debt with Mizuho Trust Bank ("MTB") scheduled to mature in February 2010. The Company announced on 21 May 2009 that the Investment Advisor was engaged in discussions with the lender regarding the terms and conditions of this loan. The refinancing represents a repayment of JPY1.31 billion (GBP 9.1 million) of the principal amount of the original loan resulting in a reduction in the loan-to-value ratio of the related properties from 75% to 44% based on property valuations as at 30 November 2009. The refinanced loan with MTB is for an amount of JPY1.85 billion (GBP 12.9 million) at a fixed interest rate of 2.20% maturing on 31 January 2014.

Details of further discussions with the Company's lenders, referred to in the Company's Financial Statements for the six months ended 31 May 2009, released on 16 July 2009, will be announced in due course, as appropriate. The Company expects to release its preliminary results for the year ended 30 November 2009 in March 2010.

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