Ad-hoc | 27 June 2006 17:00

Adler Real Estate AG: Agreement on capital increase

Ad hoc announcement transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. —————————————————————————— Hamburg, June 27, 2006 ADLER Real Estate AG (ISIN: DE DE0005008007) agrees to a capital increase Hamburg, June 27, 2006 – The board of ADLER Real Estate AG (Security Code Number 500800) decided upon the agreement of the supervisory board to increase the capital from the authorized capital stock. Thus, the company’s authorized capital stock shall be increased from its current EUR 10,000,000 by up to EUR 5,000,000 to up to EUR 15,000,000 by utilizing the authorized capital stock by issuing up to 5,000,000 new non-par shares, registered in the name of the holder (par value EUR 1.00). The new shares will be entitled to dividends as of January 1, 2005 and can be obtained for a price of EUR 2.80 per share. The subscription ratio is 2:1. Upon the expiration of the subscription period, all shares that were not subscribed by the shareholders will be offered to institutional investors from the shareholder group in a private placement. The subscription right for fractional shares is excluded. There is no trade in subscription rights on the stock exchange. The subscription period is from June 30, 2006 to July 14, 2006 ADLER Real Estate AG will invest the revenues from the capital increase in new projects to further expand their market position. The board For further information please contact: GFEI GmbH Lars Kuhnke Tel.: +49 (0)69-743 037 03 Fax: +49 (0)69-743 037 06 info@gfei.de Disclaimer: This information is not for publication or distribution in the United States. The material set forth herein is for informational purposes only and is not intended, and should not be construed, as an offer of securities for sale into the United States. The securities of Adler Real Estate AG have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the ‘Securities Act’), or the laws of any State, and may not be offered or sold within the United States or to or for the benefit of U.S. persons (as defined in Regulation S of the Securities Act), except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable State laws. About ADLER Real Estate AG: ADLER Real Estate AG is dealing in the business fields of commercial project development, portfolio management, asset management, and closed property funds. Their specific expertise is in the realization and marketing of ambitious national and international real estate projects. ADLER Real Estate AG emerged from the tradition-rich corporate veil of the Adlerwerke in Frankfurt. Their history goes back to the 19th century. Today, the majority shareholder of ADLER Real Estate AG is the U.S. real estate investor John D. Heikenfeld. (c)DGAP 27.06.2006 ————————————————————————— Language: English Issuer: Adler Real Estate AG Neuer Wall 77 20354 Hamburg Deutschland Phone: +49 (0)40 – 29 8130-0 Fax: +49 (0)40 – 29 8130-35 E-mail: info@adler-ag.de WWW: www.adler-ag.de ISIN: DE0005008007 WKN: 500800 Indices: Listed: Amtlicher Markt in Berlin-Bremen, Frankfurt (General Standard), Düsseldorf, München; Freiverkehr in Hamburg End of News DGAP News-Service —————————————————————————