St. Georges, Grenada - (July 13, 2009) – Grenreal Property Corporation Limited ("Grenreal" or the "Company") (ECSE: GPCL) held its annual shareholders meeting on July 7th 2009 at the Dr. Jan Bosch Building.

The Grenreal Management reported to the Chairman Ambrose Philip and the shareholders on the company’s performance for the first quarter of 2009 and the outlook for the rest of the year.

Grenreal CEO Dick Van Dijk said that Grenreal after a prosperous first quarter has begun to feel the increasing pressure brought on by the global financial crisis.
Mr. Van Dijk stated that rental income over the first quarter of 2009 was only a little less than the first quarter for 2008 due to a necessary vacancy for reconstruction purposes. He also stated that rental income over the second quarter has been affected by some unexpected cancellations of rental contracts related to worsening economic conditions, as well as a waiver on Consumer Price Index and Passengers Flow Index implemented by Grenreal to assist tenants in a difficult economic climate.

As a result, revenues over the first half year 2009 are approximately 10% lower compared with 2008.

However, Mr. Van Dijk stated that the good news is that the unexpected vacated units are rented out again, mainly to foreign companies with longstanding regional experience in the cruise industry. He noted that these companies had chosen Grenada due to their appreciation of future potential of Grenada as a cruise destination.

Mr. Van Dijk is forecasting that the drop in rental income faced in the second quarter of 2009 will continue over the third quarter until new rental contracts come into effect in the fourth quarter of 2009. The Esplanade Building will be rented out completely.

Costs, although on a higher level than 2008 due to professionalization of the organization and the ECSE listing, are in line with budgeted cost. Interest costs are lower due to successful reorganization of the existing financing.

The construction of a connection between the two buildings is on course for delivery in October of this year and will greatly enhance the attractiveness of the properties. Approximately 60% of the newly created spaces are rented out already with contracts starting to add to revenue from Oct/Nov.

In summary, Mr. Van Dijk said “We are convinced that the occupancy level in particularly the Bruce Street Building will improve significantly after completion of the reconstruction by November 2009. As a result the company faces some pressure on its operational income but the overall financial position remains solid to weather the economic climate.”