Issue of Equity

Real Estate Investors PLC ("the Company" or "REI")

REI raises £2.3 million

The Company announces that on Friday, 23 June 2006 it entered into two
conditional agreements, one for the subscription for ordinary shares of 1p per
share in REI ("Ordinary Shares") by Paul Bassi and Marcus Daly (via vehicles
owned and/or controlled by them) for an amount of 11,250,000 new Ordinary
Shares, at a price of 10p per share ("the Subscription Price") and a second
subscription by Paul Bassi (via a vehicle owned and/or controlled by him) for
1,250,000 new Ordinary Shares, at the Subscription Price.   The Company has also
received letters of subscription from certain other investors who have agreed to
subscribe for up to 10,500,000 new Ordinary Shares, in aggregate, at the
Subscription Price, of which John Jack, the Company's chairman, has agreed to
subscribe for 500,000 Ordinary Shares (together "the Subscription Shares").

On completion of these investments, the Company will raise £2.3 million, before
costs.  The funds will be used for working capital purposes and to part finance
future acquisitions.

Paul Bassi has been instrumental in introducing the new investors to the
Company.  Therefore, in addition to the Subscription Shares, Messrs Bassi and
Daly's investment vehicles have been allotted 575,000 and 100,000 new Ordinary
Shares, respectively ("Introduction Shares"), to be issued at the Subscription
Price, in consideration for the investments introduced by them to the
Subscription.  Mr Bassi is already interested in an existing holding of 600,000
Ordinary Shares in the Company held by Bond Wolfe Assets Limited.

In a separate release made today, the Company was pleased to announce the
appointment to the board of directors of the Company of Paul Bassi and Marcus
Daly, conditional upon completion of the fundraising and the admission to
trading on AIM of the Subscription Shares.

Following completion of the fundraising, the following interests are notifiable:

Name        Existing    Subscripion   Introduction       Total     Percentage
            Ordinary         Shares         Shares    Ordinary    of Enlarged
              Shares                                    Shares   Issued Share
                                                                      Capital
John Jack    750,000       500,000               -   1,250,000          1.65%
Paul Bassi   600,000    10,000,000         575,000  11,175,000         14.75%
(1) (2) (3)
Marcus Daly      Nil     1,250,000         100,000   1,350,000          1.78%
(1) (4
Nicholas         Nil     5,000,000               -   5,000,000          6.60%
Baird

Notes:
(1) Proposed director
(2) Paul Bassi's investments are through Bond Wolfe Assets Limited, of which he
is executive chairman and sole shareholder.
(3) Paul Bassi has agreed to subscribe for a further 1,250,000 Ordinary Shares,
such subscription to be conditional on completion of the acquisition of
Rightforce Limited announced separately today, raising a further £125,000 for
the Company.
(4) Marcus Daly's investment is through Datalore Limited.

Application will be made for 21,750,000 Subscription Shares and the 675,000
Introduction Shares (which will rank pari passu with existing Ordinary Shares)
to be admitted to trading on AIM.  It is anticipated that trading will commence
on 29 June 2006.  Application will be made for the remaining 1,250,000
Subscription Shares, (which will rank pari passu with existing Ordinary Shares)
to be admitted to trading on AIM following completion of the acquisition of
Rightforce Limited.  It is anticipated that trading will commence on 20 July
2006.

John Jack, Chairman of REI, commented, "Paul Bassi's investment in REI and his
involvement in the future development of the Company, represents significant
progress for REI just two years after our admission to AIM."

For further information, please contact:

Real Estate Investors PLC
Peter Lewin, Chief Executive
Malcolm Lewin, Finance Director
www.reiplc.com
01923 776633

Christopher Joll
mj2 ltd
020 7491 7776

26 June 2006