Subsidiary Financial Report for First Quarter 2015

BCRE - Brack Capital Real Estate Investments N.V.

("BCRE" or the "Company")

Subsidiary Interim Financial Report for First Quarter of 2015

BCRE announces that Brack Capital Properties N.V. ("BCRE Germany"), a subsidiary of the Company, whose shares are traded on the Tel Aviv Stock Exchange, has published its interim financial report for the first quarter of 2015 (three months period ended on 31 March 2015).

The interim financial report published by BCRE Germany includes:

1. Board of Directors' report on the Corporation's state of affairs

2. Interim consolidated financial statements as of 31 March 2015 (unaudited)

3. Presentation of financial data from the interim consolidated financial statements attributed to BCRE Germany itself as of 31 March 2015 (unaudited)

For ease of reference, we have provided an uncertified English translation of the above document and the Hebrew version published byBCRE Germany on the Company's website - www.brack-capital.com.

Key highlights relating to the principal results for the first quarter of 2015:

1. Profitability - in the first quarter of 2015, BCRE Germany's net income attributed to BCRE Germany's shareholders amounted to approximately EUR 11.2 million compared to net income of EUR 1.9 million in the corresponding quarter last year. The following is the contribution of income producing real estate and residential development activities to BCRE Germany's results:

- Income producing real estate - in the first quarter of 2015, the FFO amounted to EUR 5.7 million compared to EUR 5.5 million in the fourth quarter of 2014. In the reported quarter, the FFO grosses up to an annual rate of EUR 22.8 million.

- Residential development activity - in the reported quarter, the contribution to profit from the Grafental project amounted to EUR 0.9 million (consolidated) from delivering 11 apartments in Stage A (until the report date, 192 flats were delivered out of the 202 flats of Stage A).

2. Equity and NAV - the equity attributed to BCRE Germany's shareholders amounted to approximately EUR 291.6 million and the NAV amounted to EUR 362.2 million as of the report date.

3. High financial stability - the LTV ratio is approximately 51.4% and the debt ratio to net CAP is 61.5% as of the date of the report. The EBITDA ratio to interest expenses (only from the income producing portfolio, excluding operating income from entrepreneurship activity) is 2.5 in the first quarter of 2015. Cash balances amounted to approximately EUR 68 million as of the report date.

[1] Adjusted EPRA NAV - for information regarding the index and the calculation manner see section 5 of part A of BCRE

 Germany's Board of Directors' report.

2 Net debt to total balance sheet.

3 For details regarding the calculation manner, see part E of BCRE Germany's Board of Directors' report - designated disclosure to the bondholders, section 4c, the CAP ratio calculation in the report.

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About BCRE

BCRE is an international real estate development and investment group, headquartered in the Netherlands and listed on the London Stock Exchange. Through its subsidiary and associated undertakings, the Company is interested in, develops and operates an international portfolio of real estate assets, predominantly located in the USA, Germany, Russia, India and the UK.

The Company has established local management team platforms with significant local market expertise in the US, Germany, Russia, India and the UK with exclusive access to over 400 staff. At present, the Company has offices and teams in New York, London, Frankfurt, Düsseldorf, Moscow, Kazan, New Delhi, Amsterdam, Limassol and Budapest.