Nanette Real Estate Group N.V.
25 April 2008


Nanette Real Estate Group NV

"Nanette" or "the Company"


Acquisition of development site in Budapest, Hungary


Nanette is very pleased to announce that through a 90 per cent subsidiary (the
"JV") it has signed a final agreement to purchase a 153,000 sq.m. plot, which is
located approximately 5 km from Budapest city centre on the main route to the
airport.


As indicated above, the Company holds 90 per cent of the JV; the local
Municipality (the "Municipality") holds the remaining 10%.


The plot is designated for public buildings and public facilities. The Company
and the municipality are working together to change the designation of the plot
to residential, commercial and hotel; at this stage we cannot estimate the
duration of this process.


Nanette is designating the plot as an investment property and intends to invite
partners to participate in the project.


Financing of the purchase is managed with Nanette's equity. The JV is in the
process of obtaining bank finance as is the case with the majority of its
investments.


Nanette has signed an agreement with the Municipality that gives the
Municipality the option to sell the Company its 10 per cent share in the JV for
HUF 560 million (approximately Euro 2.2 million), once the first stage of the
zoning plan has been approved. Nanette has the option to buy the Municipality
share in the JV in the coming three years for the same price.


This is Nanette's ninth project in Budapest. It highlights the Group's
commitment to Hungary and its belief that the Hungarian economy will continue to
grow, sustaining the demand for new high quality housing for the urban middle
classes.


Shaul Lotan, Chairman of Nanette and Oscar Kazanelson, Chief Executive,
commented:


"Budapest is a dynamic city and attractive investment destination. The superb
location and the size of the plot are promising factors for the success of this
project and investment potential of the Group."


                                                                   25 April 2008


ENQUIRIES:


Nanette Real Estate Group
     Shaul Lotan                             + 972 3 7 100 200
     Eyal Keltsh                             +48 606141201

College Hill
     Paddy Blewer                            020 7457 2020
     Gareth David


KBC Peel Hunt, Nominated Adviser and Broker
     Capel Irwin                             020 7418 8900
     Alina Savych


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