The PAREF Management Board, which met on March 22, 2007 under the chairmanship of Mr. Hubert Lévy-Lambert, approved the Group's consolidated financial statements for the 2006 financial year and submitted them to the Supervisory Board. The consolidated results, prepared in accordance with IFRS standards, show the following comparative elements in relation to 2005:

(1) included in 2005 a lease termination indemnity of €1,013,000

An increase in turnover in the Group's two business sectors

The favorable evolution of the turnover of PAREF can be explained by a favorable trend in the Group's two strategic business sectors: investment and management on behalf of third parties.

The increase in rental income is mainly due to the increase in the company's assets, which made several new investments in 2006, thanks to the funds raised during the initial public offering. It also results from the indexation of rents which benefited from the strong growth of the INSEE index.

Despite the sale at the end of the year of the assets managed for Westbrook, the commissions received have also made good progress, thanks to strong inflows from SCPIs managed by Paref Gestion (formerly Sopargem), which resulted in a significant increase in their capitalization (see histograms in the PDF document)

2006 results

Gross operating income shows a slight decrease compared to 2005 due both to the existence of a non-recurring indemnity received in 2005 for €1 million and to the increase in overheads in 2006 related to the listing on the stock market and looking for buildings.

Consolidated net income for 2006 (IFRS standards) for the year as a whole was €9.1 million, compared to €5 million in 2005. This strong growth is explained by the increase in fair values and by an adjustment of exceptional tax linked to the transition to the SIIC system.

Strong increase in asset value and NAV

In net asset value, the company's real estate assets amounted to €81.2 million at the end of 2006, including €69.6 million for investment properties, €7.2 million for assets held for sale and €4.4 million M€ for SCPI shares, against a total of 48.7 M€ at the end of 2005, an increase of +67 %.

The replacement NAV was €88.59/share at the end of 2006 compared to 70.88 at the end of 2005, an increase of 25 %.

A dividend of €3 per share

The Management Board will propose to the general meeting of May 9, 2007 to distribute a dividend of €2.2 million, which represents €3 per share. This dividend will be paid at the end of the general meeting.

Own funds

Before allocation of the dividend, the Group's consolidated shareholders' equity amounted to €54.5 million at the end of 2006, compared with €44.1 million at the end of 2005.

Continuation of the selective investment strategy

Since the initial public offering, the sums committed represent €112 million excluding duties, including an acquisition in December 2005 for €11 million, acquisitions in 2006 for €33 million, undertakings signed in December 2006 for €38 million and offers issued before the end of 2006 for €30 million.

“In 2007, we will develop management on behalf of third parties, in particular via SCPIs and soon OPCIs, and we will continue our selective investment strategy of up to €150 million with the objective of obtaining, after an average leverage effect of 2/3, a return on equity of at least 12%.

This original economic model, based on theinvestment plus management, has a double advantage, especially in times of turbulence: synergies between the various structures in terms of purchases and management as well as an operating account comprising a significant proportion of recurring income from management and purchases of usufructs. declares Mr. Lévy-Lambert, Chairman of the Management Board.