Acquisition

19 March 2007

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

                              Property acquisition

Real  Estate Investors plc (AIM: RLE), the West Midlands based property company,
is pleased to announce that it has exchanged contracts on its second acquisition
since  its £25 million fundraising in December 2006 and the appointment of  Paul
Bassi as Chief Executive.

The  transaction  relates  to the freehold of a new development  known  as  Avon
House, Buntsford Gate, Bromsgrove.

The  property consists of approximately 26,000 sq. ft. of high quality  offices,
within  minutes  of  the  Midlands motorway network  and  with  easy  access  to
Birmingham City Centre and its international airport.  The property is currently
part-let  to  leading  directories business, Yell, with 22,000  sq.  ft.  vacant
space.  Once fully let, the property should generate in excess of £400,000  p.a.
and  should  provide  good  capital growth.  There  has  already  been  interest
expressed in the void space.

Consideration  for the acquisition was £5,200,000.  The property  was  purchased
off-market and was funded from the Company's cash resources.

Paul  Bassi commented "I am delighted that we have completed on this, our second
major  acquisition post the fund raising.  Avon House provides us with  a  newly
developed landmark office building and is consistent with our stated strategy of
acquiring part-let property, and adding value through further lettings."


Enquiries:
Real Estate Investors plc                    [phone]
Paul Bassi

Powerscourt Media Limited                    [phone]
Victoria Brough/ Claire Melly


Notes to Editors

1. REI  is  an  AIM  listed  property  investment  and  development  company
   specialising in commercial property throughout the Midlands and Central England
2. REI  is  focused on delivering shareholder value through returns generated
   from  strong  yields and capital enhancements. This is achieved by  targeting
   investments in orphaned, distressed, part-let and underperforming  commercial
   property assets
3. REI's Board is led by respected property-entrepreneur Paul Bassi, who has
   over 23 years of property experience. Mr Bassi is also founder and chairman of
   Bond Wolfe Auctioneers, one of the UK's largest (top 50) property auction houses
   and estate agents, and chairman of Bigwood Chartered Surveyors
4. REI  was  admitted to trading on AIM in June 2004.  In December 2006,  REI
   successfully raised £25 million to aggressively grow its property portfolio, at
   that time, estimated to be worth approximately £28 million.  Paul Bassi is the
   largest shareholder in the Company
5. Further information on REI can be found at www. reiplc.com